Against Extreme Draught Risks

Q: If it rains and the trigger isn’t met, do we get our premium back?

No. This is an insurance policy and only pays if the insured peril occurs.

Q: Dryness can be very local—what if my site and the station disagree?

Payouts follow the measurement source named in the policy. If the station/grid meets the trigger but your site seems unaffected, the policy still pays; if your site feels dry but the station/grid doesn’t meet the trigger, no payout is due. We mitigate this with a network of nearby stations and, where available, satellite rainfall data for finer localisation.

Q: What information do you need to quote?

Typically: (1) location of risk, (2) at least five years’ loss history related to rainfall, (3) desired limits, (4) excess/deductible preferences, (5) policy period.

Against Extreme Draught Risks

Protect your business from the financial impact of prolonged dry and drought conditions with a tailored, data-driven parametric coverage.

Extended spells of dry or drought-like weather can suppress demand, stress supply chains, and strain cash flow. Our parametric dry-weather cover smooths that volatility and can respond to losses traditional policies might overlook. You choose the level of dryness your operations can tolerate and the payout required to defend your P&L.

Instead of building a complex claims file to prove severity, causation, and loss amount, this cover relies on objective measurements from nearby weather station(s) or satellite rainfall indices. If the pre-agreed trigger is met—defined by dry days or low accumulated rainfall—the policy pays automatically.

Policies can run for any number of days, including annual or multi-year terms. Operationally, premium is due 20 days before inception and all valid claims are paid 14 days after expiry, helping you plan with confidence and communicate reduced weather volatility to stakeholders.

Why Our Dry-Weather Cover Stands Out

Evidence first, admin last

Objective data sources: Named weather station(s) or satellite grid cells written into the contract.
Clear settlement: When the agreed dryness trigger is met, payouts follow—no lengthy loss adjustment.
Built around your business: Calibrate period, geography, deductible/excess and limits to match your tolerance for dry conditions.

Transfer the financial risk of abnormal weather to the insurer and plan with confidence—benefits in reducing volatility can be disclosed to investors.

How It Works

Dry-Day Model: Set a deductible in days plus a daily excess (e.g., rainfall < 5 mm qualifies as “dry”). Once the deductible number of qualifying dry days occurs within the period, each additional dry day pays a fixed amount up to the maximum limit.
Accumulated Rainfall Model: Track total precipitation over the policy period. If the period total falls below a defined deductible (e.g., < 50 mm in a month), the policy pays per mm below that level, capped by the maximum limit. A day-based excess can also be incorporated.

Measurement & terms: Triggers use the closest station(s) or specified satellite grids (often ~5×5 km with sensitivity to 0.1 mm); portfolio covers can list a panel of stations or grids. Premium is paid 20 days pre-inception; valid claims settle 14 days post-expiry.

Key Policy Parameters

These building blocks define how your dry-weather cover behaves and how payouts are calculated:

Period: Inclusive dates from inception to expiry.
Location: Coordinates of the risk or territorial limits for a portfolio.
Deductible – Day: Predetermined number of qualifying dry days before payouts begin.
Deductible – Dry (mm): Predetermined period total of rainfall below which the policy attaches.
Excess: The daily rainfall (mm) level at/below which a day counts as “dry” for payout purposes.
Limit: Amount paid per qualifying day or per mm below the deductible.
Maximum Limit: The most the policy will pay during the period.
Meteorological Station / Satellite Data: The named station(s) or satellite grid cells used for all measurements.

Operations: Premium due 20 days before inception; valid claims paid 14 days after expiry. Annual and multi-year policies available.

Frequently Asked Questions

Simple structure, objective data, transparent settlement—answers to common questions below:

Questions

If it rains and the trigger isn’t met, do we get our premium back?

No. This is an insurance policy and only pays if the insured peril occurs.

Dryness can be very local—what if my site and the station disagree?

Payouts follow the measurement source named in the policy. If the station/grid meets the trigger but your site seems unaffected, the policy still pays; if your site feels dry but the station/grid doesn’t meet the trigger, no payout is due. We mitigate this with a network of nearby stations and, where available, satellite rainfall data for finer localisation.

What information do you need to quote?

Typically: (1) location of risk, (2) at least five years’ loss history related to rainfall, (3) desired limits, (4) excess/deductible preferences, (5) policy period.