Impact Investment in Climate-Resilient Drought Insurance

In Mali, where droughts affect 400,000 people annually and result in $9.5 million of lost crop earnings, OKO offers a lifeline by providing crop insurance to smallholder farmers. To measure the impact of its services, OKO tracks the number of policies sold, the overall value of the crop insurance policies it sells, and the number of payouts made. In addition, OKO tracks the resulting changes in the amount farmers invest in their farms and the increased access to credit obtained by farmers. Together, these metrics reflect both the downside mitigation and upside potential the insurance coverage creates. OKO’s ability to track impact was critical in securing investment from Katapult, an early-stage climate investor.