Ibisa, a Luxembourg insurtech company, has integrated Global Parametrics’ Water Balance Index (WBI) in its micro-mutual, risk-sharing service and will use the Water Balance Index to provide micro-insurance solutions to half-a-million farmers in the regions of Tamil Nadu and Andhra Pradesh, in India. Its B2B platform uses blockchain, satellite observation data, and index-based risk modelling to provide insurance solutions to small farmers in poor countries.
Photo: The forecast solution will help the project target 5,000 small farmers in Tamil Nadu and Andhra Pradesh / Credits © Shutterstock
The Water Balance Index is a meteorological prediction tool, that has been launched by Global Parametrics (GP), an expert in natural disaster preparedness. It provides cumulative rainfall and potential evapotranspiration information, backed by 40 years of daily atmospheric data analysis. Founded in 2016 and headquartered in London, Global Parametrics develops parametric solutions to calculate climate and natural disaster risks. Its data helps insurance companies to analyse risk exposure and structure financial risk transfer solutions.
Ibisa will use the WBI in a development program co-founded with the Development of Humane Action (DHAN) Foundation. The forecast solution will help the project target 5,000 small farmers in Tamil Nadu and Andhra Pradesh and it is expected to reach more than half-a-million farmers by 2024.
“Small farmers are particularly vulnerable to extreme weather conditions and natural hazards. We are thrilled to have GP supporting us in scaling our program in India,” said Maria Mateo Iborra, co-founder of Ibisa.
Launched in 2019 and hosted in the Luxembourg House of Financial Technology (LHoFT), Ibisa is a B2B platform built on a decentralized mutual system where local mutuals and global insurers help to offer agricultural insurance to farmers everywhere. The objective is also to share weather-related risks in a transparent and cost-effective manner.
Based on the blockchain technology to lower admin and operational costs, the platform automates monthly assessment and pay-outs, removing the need for filing claims, and providing timely compensation.
Ibisa uses earth satellite observations and index-backed risk modeling data to scale up damage assessment in countries such as India and Niger.
