Blue Marble, a firm that provides insurance protection for underserved communities, has reportedly made the largest parametric insurance payout ever recorded to smallholder farmers in Indonesia, with all 2,719 farmers enrolled in the program receiving payouts and total claims exceeding IDR 2.4 billion.
According to Blue Marble, the recent floods in Aceh were among the most devastating climate events in the region this year.
Torrential rainfall is said to have submerged farmland, disrupted livelihoods, and tested resilience across entire communities.
“When extreme rainfall crossed the predefined scientific threshold, the system activated automatically,” the firm stated, adding that the payout illustrated parametric insurance operating exactly as designed.
Blue Marble said that funds were disbursed directly to cooperatives and farming communities, and that payments were delivered rapidly, when liquidity mattered most.
The firm observed that objective, science-based triggers reduce ambiguity, while automated mechanisms help minimise delays.
“Immediate liquidity enables farmers to replant, stabilise income, and protect their families, without months of uncertainty. This was not just a payout. It was a record-setting demonstration of what climate risk protection should look like in practice,” Blue Marble went on.
Iwan Ariantoa, Head of ACG Cooperative, commented, “Through this insurance, losses due to reduced harvest yields can be partially compensated, so farmers still have capital to continue maintaining their farm and preparing for the next harvest season. This insurance is not only a protection instrument, but also supports the economic sustainability of farmers.”
