Bundling crop insurance and weather information to reduce agricultural loss in Mali

Published on 26 June 2023 by Tamara Lancel

Weather Impact has joined a partnership with OKO Finance and Georg-August-Universität Göttingen to provide a combined service of crop insurance and agri-weather advisories to smallholder farmers in Mali. At the moment, OKO already successfully provides crop insurance to farmers in Mali. With this crop insurance, farmers mitigate the risks of failing seasons. However, insurance cannot assist farmers in optimizing their farming practices and yield. With the help of the InsuResilience Solutions Fund (ISF), the consortium will add Weather Impact’s weather and climate advisory services to the insurance product.

The bundled services have the goal to:
–         Improve agricultural productivity
–         Improve customer satisfaction and the service retention rate
–         Reduce losses of farmers

By bundling weather information and crop insurance we provide farmers a stronger product, which improves the livelihood and satisfaction of farmers, and increases the customer loyalty to the product. The reduced losses potentially help OKO to reduce the premiums of their insurance products. During the project, the University of Göttingen will perform a comparison between farmers that only use the crop insurance product and farmers that receive the bundled services. This impact study will provide insights into the gain that farmers get from these value-added services.