In this Q&A, AMA Innovation Lab investigator Jon Einar Flatnes discusses how this new kind of index insurance works, some of the challenges and opportunities of implementing a new insurance product and the biggest hurdles to achieving the potential of index insurance for agricultural development.

Women farmers are typically cautious of losing their already limited collateral or social status in case of default in the event of a bad weather shock. An innovative type of insured loan made women more confident to apply for the credit needed to invest in their farms.