Spring frost represents a financial risk for fruit and wine growers since orchards and vineyards are particularly sensitive to freezing temperatures during the growing season.ASK FOR A QUOTE ➞
AXA Climate’s frost parametric insurance coverage is structured using the minimum daily temperature index. We monitor the index using data from a reference weather station close to the insured location.
A linear payout structure of frost insurance allows the client to have a payout that is incrementally larger as the drop in temperature increases. No loss adjusters are required to asses the loss, ensuring a rapid payout.
How does it work
We structure your coverage with a Minimum Daily Temperature Index and predefine the parameters to apply to the coverage
We monitor the minimum daily temperature and as soon as it falls below the predefined threshold…
…You receive the payout within a few days after the end of the risk period
When to contact us?
up until two months before the start of the risk period
Data we will need from you:
Crop value to insure
Parametric cover for a Bordeaux wine grower
ASK FOR A QUOTE ➞
A wine grower in Bordeaux is looking for an insurance solution to protect its vineyard against spring frost that may damage its vines.
Pain point: lack of capacity in the traditional insurance market for high-value crops as well as a high level of deductibles.
FROST protection parametric coverage is structured using the data from a reference weather station close to the insured location.
The parametric cover pays out as soon as the minimum daily temperature drops below the predefined threshold, no deductible is applied.
In the end of April 2017, France was hit by a cold snap that brought a series of overnight frosts.
The temperature fell to -0.9°C and the payout of 30% of the sum insured was transferred to the client at the end of the risk period.
PARAMETRIC SOLUTIONS FOR THE AGRICULTURAL SECTOR
WebinarWatch the video ➞
Climate risks such as drought, frost, hail as well as diseases could heavily impact the crop production and result in financial losses to farming businesses and even disrupt the entire agricultural value chain. How can parametric insurance help mitigate the financial consequences of such risks?
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