Reducing Insurance Costs and Enhancing Agricultural Resilience with AON

The Challenge

Despite high vulnerability to climate risks, only 3% of smallholder farmers in Africa have access to effective crop insurance coverage. Expanding this protection is essential for farmer resilience and global supply chain stability. However, severe data scarcity limited accurate agricultural risk assessment, resulting in high insurance costs, delayed payments, and reduced coverage availability.

The Solution

In collaboration with AON and the African Development Bank, Amini delivered first-of-its-kind farm-level data using advanced satellite analytics and AI technologies. The solution provided:

• Precise field-level monitoring of crop conditions and environmental factors
• Advanced risk modeling based on historical and real-time environmental data
• Streamlined verification systems for faster, more transparent insurance payouts
• Comprehensive analytics to substantially reduce crop insurance management costs

The Benefits

The data-driven approach transformed agricultural insurance accessibility:

• Enhanced accuracy and transparency reduced errors and basis risks
• Insurance management costs decreased by 15%-31%
• Expanded coverage became possible for previously uninsured farmers
• Payment processes accelerated through data-verified triggers
• Farmer resilience improved against climate volatility
• Adoption of regenerative agriculture practices accelerated
• Supply chain stability increased across the agrifood sector

For more information about Amini's environmental risk assessment solutions, contact info@amini.ai