Case Study for LoanINSURE in Africa

The Challenge

Farmers in Nigeria, Ghana, and across Sub-Saharan Africa are increasingly vulnerable to extreme weather conditions, which pose significant risks to their livelihoods. Heavy rainfall, cyclones, and prolonged flooding can lead to:

• Crop failure, resulting in substantial financial losses for farmers.
• Damaged property and transport infrastructure, disrupting supply chains and access to markets.
• Interrupted income streams, affecting the financial stability of farming households.
• Delayed loan repayments, which can impact creditworthiness and future borrowing capacity.

Despite these challenges, millions of rural borrowers remain underinsured, leaving them exposed to the financial repercussions of such events. Insurance solutions tailored to the agricultural sector can provide a safety net, enabling farmers to recover more swiftly from adverse weather impacts. By investing in comprehensive insurance coverage, farmers can safeguard their assets, ensure business continuity, and maintain financial resilience in the face of climate uncertainties.

The Solution

LoanINSURE is a parametric insurance product embedded into farmer loans, triggered automatically by excessive rainfall or cyclone events. It ensures partial EMI coverage when weather thresholds are breached.

Riskwolf will act as an independent monitoring agent and handle automated claim detection and notifications.

Customized Product Design

• Precision Calibration: The Riskwolf platform enables precise calibration of weather triggers, ensuring that insurance products are finely tuned to the specific needs of farmers.
• Tailored Solutions: Products are crafted to address specific regional risks and farming operations, providing targeted protection where it’s needed most.
• Flexible Coverage: With options that address multiple weather perils, farmers can choose the coverage that best suits their operational needs, ensuring comprehensive protection.

Seamless Integration

• Integrated Systems: Fully integrated parametric coverages within existing quotation systems streamline the insurance process, making it easier for farmers to access and manage their policies.
• Efficient Administration: A streamlined policy administration process reduces overhead and speeds up service delivery.
• Automated Claims: Automated claims monitoring and processing ensure that payouts are prompt and accurate, minimizing downtime for farmers.

Results and Benefits

For Farmers:

• Rapid Financial Recovery: Quick access to funds enables farmers to respond immediately to weather-related damage, minimizing financial disruptions.
• Predictable Protection: Clear trigger conditions provide transparency and certainty, allowing farmers to plan with confidence.
• Bottom-Line Protection: Coverage helps maintain financial stability during adverse weather events, safeguarding farmers’ livelihoods.
• Seasonal Flexibility: Payout schedules aligned with seasonal farming cycles ensure that farmers receive support when they need it most.

Client Testimonials

“The partnership with Riskwolf ensures that our borrowers have resilience in their repayment journey—no surprises, just smart protection.”

- Oluwatosin Adesiyan , Associate Partner, Head of Private Credit, African Markets Altimapa Capital

“We are very excited to partner with Altimapa to design this innovative product for the African market”.

- Thomas Krapf , CEO and Co-Founder, Riskwolf

Contact Us

For more information on how Riskwolf can help protect your agricultural investments, reach out to our team today. Contact Us to discuss how we can tailor our solutions to meet your needs.