Luxembourg-based climate insurance and technology company Ibisa announced the successful closure of a $3m funding round aimed at scaling its parametric insurance solutions across Asia and Africa. The funding was led by the Acumen Resilient Agriculture Fund (Araf) and Equator, in partnership with the Asian Development Bank Ventures (ADBV) and existing investor Ankur Capital. This strategic investment is intended to enhance Ibisa’s capacity to deliver accessible parametric insurance products, the company stated in its announcement.
According to estimates from the Food and Agriculture Organization of the United Nations, global agricultural losses due to extreme weather events range between $10bn-15bn annually, noted Ibisa. In response, the company aims to address these challenges by offering parametric insurance solutions--where payouts are determined based on predefined parameters such as weather conditions (rainfall levels, wind speed, etc.), rather than actual losses incurred by the insured party--designed to assist communities affected by the climate crisis, usually without the need for extensive claims assessment. Leveraging advanced satellite and actuarial technologies, Ibisa develops and manages parametric insurance products that bolster financial resilience in regions most susceptible to extreme weather impacts. The company has particularly focused on India since establishing local operations in 2023.
Currently, Ibisa provides a range of innovative climate-related insurance covers tailored to diverse stakeholders globally. These offerings include agricultural insurance products, typhoon insurance and loan protection for financial institutions. Ibisa has also pioneered a heat stress insurance product initially aimed at dairy farmers in India, now expanding to other countries such as Bangladesh.
The fresh capital infusion will enable Ibisa to introduce more cutting-edge products and extend its reach into emerging markets. Speaking on the funds raised on Tuesday, Maria Mateo, the company’s CEO, said, “From our inception, Ibisa has operated with agility as product innovators, swiftly bringing solutions to market. This agility defines our approach and is ingrained in our DNA. Now, with the backing of this funding round and the support of our investors, both old and new, we aim to broaden our product portfolio, expand within our current markets and explore new opportunities.”