WeatherPro, an Australian based weather risk specialist (subsidiary of European firm CelsiusPro and partner of Swiss Re) is to pay out more than AU$2m to Australian farmers whose crops were damaged by La Niña induced flooding, according to Australian farming news source The Land.
WeatherPro launched in Australia during September to offer online weather derivative protection to businesses based on measured weather data from the Australian Bureau of Meteorology.
After Australia experienced more rain than normal during the last few months farmers who bought cover through WeatherPro will be pleased to receive their payouts. WeatherPro said that the largest payout was more than AU$250,000. The simplicity of the online system allows farmers to purchase their derivative cover online and with pre-determined payout factors (ie. when rainfall exceeds a certain amount) the predictability of knowing when they will be due a payout can be more attractive than standard weather insurance policies.