WorldCover, which offers crop insurance policies, has reportedly raised $6m in a Series A round.
The equity line was led by MS&AD, the venture capital division of Mitsui Sumitomo Insurance Japan, a number of reports in the media report. Other backers included Y Combinator, Western Technology Investment, and EchoVC.
Currently, the company operates in Ghana, Uganda and Kenya, but this new funding will enable it to reach new countries, the articles report. Some of the new locations WorldCover is considering are India, Mexico, Brazil and Indonesia.
WorldCover helps farmers access crop insurance, leveraging technology to reduce risks. The company claims that 90 per cent of farmers do not have access to crop insurance, and a drought can leave them without income or food.
Its model gives farmers a simple, affordable and effective coverage, and utilises satellites to monitor rainfall and trigger automatic payouts. Through the policy, a farmer can access credit and services for their farm, invest in the most productive crops, pay school fees and feed their family even during a drought.
The platform is also available to investors looking to diversify their returns, and help supply farmers with insurance coverage.
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