International charity confederation Oxfam has teamed up with Ethersic, a blockchain insurance startup, to provide farmers in Sri Lanka cover in the event of extreme weather conditions. Some 200 farmers are thought to have enrolled to use the Ethereum-based application.
The scheme will involve automated weather stations recording the amount of rain falling on farms. In the event of extreme levels either way, the claims process will be triggered automatically. Previously, an agent from the insurance company would need to travel to the area affected by the floods or droughts. Automation will reduce not only the cost but the time taken to authorise claims.
Bojan Kolundzija, Oxfam’s director in Sri Lanka:
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.
Michiel Berende, the chief inclusive officer at Etherisc:
“This alliance is really a cooperation between all and showcases blockchain for social good.”