Karuna Trust, Karnataka - ZEF

Good and Bad Practices in MicroinsuranceKaruna Trust, India3. The Members3.1 Social and Economic ConditionsThere are 132 villages in T. Narsipur taluk with a total population of about 240,000. The vastmajority of people live in rural areas. According to the 2001 census, 36.1% of the populationis younger than 15 years of age. The population aged between 15 and 54 are the main wageearners and constitute 53.2% of the total population. About 10% of the population is 55 yearsor older. There are more males in the population than females.Most of Karuna’s target group are daily or seasonal labourers. They work in construction oras agricultural labourers and earn around Rs. 30 to Rs. 45 ($0.70-$1) a day if work isavailable. A few own a small piece of non-irrigated land themselves. As shown in Figure 3.1,in T. Narsipur taluk, the median annual household income is Rs. 35,000 ($872). 15 The mainincome is earned during the harvest season in September, October and November. During theharvest in May and June, demand for labourers is decreasing and only a few find work.Figure 3.1 Annual Household Income Insured and Uninsured in T. Narsipur25,0%Insured/Not insuredHouseholdInsured HouseholdNon insuredHousehold20,0%Percent15,0%10,0%5,0%0,0%100000,095000,0085000,0075000,0065000,0055000,0045000,0035000,0025000,0015000,005000,00Annual household income (grouped)15 Source: Household survey conducted by the project “Strengthening Micro Health Insurance Units for the Poorin India”, July 2005. The survey was funded by the European Union with additional support kindly granted byDeutsche Gesellschaft für Technische Zusammenarbeit (GTZ).21