Aon teams up with Oxfam, insurtech Etherisc on blockchain-based agricultural insurance

Re/insurance broker Aon has partnered with non-profit organisation Oxfam and insurtech start-up Etherisc to launch a blockchain-based agricultural insurance platform for smallholder farmers in Sri Lanka.

Nearly 200 farmers have enrolled in the solution, which aims to deliver micro-insurance to smallholder paddy field farmers in Sri Lanka who are at risk of losing their crops due to extreme weather.

Using blockchain technology, the platform aims to transform and simplify the claims process while reducing the administration costs.

Sanasa Insurance, Oxfam in Sri Lanka’s partner, has joined the initiative to provide local expertise, networks and operational execution.

“Strong collaboration, such as this initiative with Oxfam and Etherisc, allows us to broaden the potential positive impact we can have on people, families and small businesses around the globe," said Hugo Wegbrans, chief broking officer Europe, Middle East & Africa of Aon. "At the heart of our work is a mission to empower economic and human possibility – and that is exactly what we are doing here.”

Michiel Berende, chief inclusive officer at Etherisc said: “Farmers represent a third of the workforce and account for almost 20 percent of the economy, yet very few have insurance. This made Sri Lanka a perfect candidate to feel the benefits of decentralized, collaborative and automated insurance. This alliance is really a cooperation between all and showcases blockchain for social good.”

Bojan Kolundzija, country director of Oxfam in Sri Lanka, added: “Oxfam in Sri Lanka expertise in climate-smart agriculture and our long-standing engagement with famer communities, provides us with in-depth knowledge about the opportunities and challenges that farmers have to climate and weather events. Allowing farmers to access the blockchain platform is an important milestone that is bringing an effective and affordable risk transfer mechanism to a large portion of the Sri Lanka economy.”

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