On May 2, 2017, the International Food Policy Research Institute (IFPRI) blog featured an AMA Innovation Lab project that examines how impact index insurance affects the way smallholder farmers manage risk and production costs. IFPRI has just released a discussion paper by the research team on the project "Insuring Against the Weather: Integrating Generic Weather Index Products with Group-Based Savings and Loans in Ethiopia and Bangladesh."
The paper discusses a range of findings on the project. These include that farmers with insurance increased how much they spent on inputs that could increase yields, such as fertilizers, irrigation and pesticides. The additional income generated by these investments increased how much the farmers spent on seed during the following season.
Read the full story at the IFPRI Blog.