On February, 15 2022 APA Insurance announced a Ksh-12 million initial insurance payout to farmers in Nandi for 2021 losses. The leading insurance company was in partnership with Apollo Agriculture and Pula.
APA Insurance acted as the lead insurer, Apollo Agriculture the client, and Pula is the service provider.
“Agriculture is vital to the economy and over 75 percent of our fellow countrymen rely on agriculture for their livelihoods. Furthermore, the government has identified agriculture insurance as part of the broader risk management program and a key strategy to de-risk agriculture,” said Ashok Shah, CEO The Apollo Group. “We are supporting the Government of Kenya agenda on food security through the creation of an enabling environment and ensuring sustainable natural resources management. Agriculture finance and insurance are strategically important for achieving the mission of eradicating poverty and ensuring shared prosperity.”
Additionally, in the past farmers carried a great burden occasioned by crop failure, climate change, pests and diseases. However, the private sector has come in with the aim of closing this gap. Through work by insurers farmers are being moved closer to receiving steady income .
Crop insurance aims to contribute towards a long-term transformation of farming from subsistence to commercial agriculture. Further, farmers’ compensations during a failed season is critical for stabilizing their incomes and building of resilience thus leading to overall agricultural growth and development.