Blockchain firm, Ethersic, has announced that it would begin to offer blockchain-based insurance to farmers in Kenya. The firm would provide farmers in the African country with a parametric insurance platform based on blockchain technology. In their statement, the firm says it wants to give help and support for small scale farmers from the harsh effects of the region’s climate.
To actualize their dreams of providing this service for low scale farmers, Ethersic announced that it has partnered with the Chainlink Community Grant Program. The firm also said that it had enlisted the help of ACRE Africa, a small company that provides insurance services in the African continent.
Money from the grant will be used for farmer’s benefits
In their announcement, the firms noted that they embarked on the project to allow up to 250,000 low scale farmers around Kenya gain access to quality insurance services. The firm also said that it has carried out a survey in the region and has discovered that farming in the area will be adversely affected by the harsh climate conditions in the next three years.
The firm said the initiative was brought up to help low-scale farmers during those periods as they would be greatly hit judging by the lack of good farming practice in the region.According to the community, the platform will seek to provide the farmers with new and flexible insurance policies that will see payment installments valued at a low price. A sneak peek at the lowest value of the installment payments puts it at least 50 cents in Kenya’s local currency.
Going further, the firm also mentioned that all the cash that will be gotten from the grant would be used to build something that will benefit the farmers in the country. Furthermore, Ethersic says it wants to develop smart contracts for the farmers, build a very easy to use and accessible interface where the farmers can communicate, and integrate a local payments system in the new platforms.
New project is a part of a broader move to introduce blockchain in Africa
Another aspect that was touched is the education of the farmers in studies related to farming. The firm said that it wants the farmers to be up to date with studies about insurance for agricultural crops around the region.
According to the firm, the study aims to create the best sustainable coverage method for both the farmers and the insurers. In his statement, ACRE Africa CEO George Kurla noted that the firm was happy with the partnership and the opportunity to help farmers in the region.
Going further, the CEO also said that they are happy that the partnership with Ethersic has allowed them to create a cost-efficient model for insuring crops around the country. This project is one of the smaller parts of a broader move by the organization to introduce blockchain technology in the region fully.
At the beginning of the year, Telokanda, a weather technology company that uses an open-source protocol, announced that it was venturing into Africa to study the region’s weather conditions using blockchain technology.