Today’s Solutions: September 29, 2022

African agriculture, especially small farms, have not had it easy over the past few years. Droughts, pests, floods, and local conflict have exacerbated challenges for many food producers. This is why insurtech startup Pula is working to provide small farmers with insurance to help manage the implications of climate change and other environmental uncertainties. 

The startup begins the farming season by sending representatives to farms to gauge the potential yield of the season. Pula then sends this estimate to insurance companies to generate a policy offer. According to Pula, the initiative has been so successful because in every African country they have worked in, there are insurance companies willing to support their initiative. 

Since its conception in 2015, the company has worked with 4.3 million farmers across 13 African markets. The average cost of a premium subscription is four dollars, but it’s not paid by the farmer themselves. Pula markets the insurance to the bank which backs the small farm in order to encourage more loans to small farmers. This also reduces direct costs for farmers. Added certainty not only keeps these farmers afloat but also gives them the wiggle room to invest in more sustainable farming technologies like drought-resistant crops and crop diversity. 

Insurtech is one of the fastest growing fintech sectors. Pula recently raised $6 million in a Series A fundraising and plans to expand its innovative business model to Asia soon. 

Solutions News Source Print this article
More of Today's Solutions

Denmark pledges millions to nations disproportionately affected by climate ch...

Last week, Denmark made a historic move for climate justice by pledging 100 million Danish crowns ($12.9 million) to developing nations damaged by the climate ...

Read More

5 ways to boost your microbiome this summer

There's no debating the importance of a healthy gut for overall well-being—and now, more than ever, staying in optimal health is top of mind ...

Read More

Taking an afternoon nap may make your brain healthier

If you love to indulge in a feel-good siesta, then we have good news for you: those afternoon moments of slumber might be benefiting ...

Read More

Bumblebees help solidify the link between microbiome and memory

The term 'microbiome' has been thrown around a lot over the past few years with many studies and health companies finding that a healthy ...

Read More