Emerging markets like Africa and Asia have long grappled with the devastating impacts of climate change on smallholder farmers. However, a Kenyan agricultural insurance and technology company, Pula, is stepping up to the challenge.
Pula, founded in 2015 by Rose Goslinga and Thomas Njeru, has just closed a $20 million Series B funding round to help thousands of smallholder farmers gain access to insurance against climate-related risks such as floods, droughts, and more.
“Partnering with this group of like-minded investors to boost the growth of Pula globally is a very exciting milestone in driving our triple 100 vision, through which we intend to bring insurance to 100 million smallholder farmers,” said Njeru.
Pula’s innovative approach to agricultural insurance has been gaining traction. By bundling insurance with other essential products like seeds and credit, the company is making insurance more affordable and accessible than ever before.
Also Read: Startup funding in Africa – Q1 2024
The latest funding round was led by BlueOrchard, a global impact investment manager and member of the Schroders Group, via its InsuResilience strategy. The round also included investments from IFC and the Private Sector Window of the Global Agriculture and Food Security Program (GAFSP).
“What sets Pula apart is their innovative business model, leveraging artificial intelligence, on the ground data collection mechanisms, mobile-based registration systems, remote sensing, and end-to-end automation tools,” said Richard Hardy, private equity investment director for Africa at BlueOrchard. “Their digital platform has enabled them to expand into new geographies with ease and efficiency, all while keeping setup costs low.”
Also Read: BasiGo achieves milestone with first locally assembled E9 Kubwa E-Buses
Since its inception, Pula has partnered with over 70 insurance and 20 reinsurance companies, as well as 100 distribution partners across the globe, to deliver its innovative insurance solutions. This has helped develop the capacity of local insurance and reinsurance players to understand and underwrite agricultural insurance for smallholder farmers.
Pula’s main markets currently span across Kenya, Nigeria, Zambia, Malawi, Mozambique, and they are expanding their presence in Asia and Latin America. The company’s operations are managed from Switzerland and coordinated from the Kenya service center.
With this latest round of funding, Pula plans to scale its operations and significantly expand its reach over the next five years, ultimately aiming to bring insurance to 100 million smallholder farmers worldwide.
