How Guyana Built Its First Climate Safety Net for Rice Farmers
Rice farming has always depended on the weather. But with droughts, intense rainfall, and increasingly unpredictable climate patterns becoming more frequent, weather is no longer just a seasonal consideration—it’s one of the biggest risks to farmers’ livelihoods.
A single extreme weather event can lead to crop losses, reduced income, delayed planting, and long-term financial uncertainty for farming families.
To address this challenge, Guyana launched its first parametric agricultural insurance programme in 2025. By combining climate science, weather intelligence, and innovative insurance, the programme provides faster financial protection through predefined weather triggers—helping farmers recover quickly and continue investing in future harvests.
Developed through a collaboration between government agencies, insurers, development partners, and WRMS Global, the initiative marks a significant step towards building climate resilience for Guyana’s rice sector.
What is Guyana's First Parametric Agricultural Insurance Program?
Guyana’s first parametric agricultural insurance program protects rice farmers in Guyana against drought and excessive rainfall using predefined weather triggers instead of traditional field loss assessments. By combining weather data, Automated Weather Stations (AWS), climate modelling, and objective rainfall measurements, the programme enables faster insurance payouts while strengthening climate resilience in agriculture.
- This alone targets:
- Guyana parametric insurance
- Parametric agricultural insurance
- Weather-based insurance
- Climate resilience
- Weather index insurance
- Rice farmer insurance Guyana
A New Approach to Agricultural Insurance
Unlike traditional crop insurance, which relies on field inspections to assess damage, parametric insurance uses predefined weather triggers. When rainfall falls below—or rises above—agreed thresholds, payouts can be initiated based on objective weather data.
This approach enables faster, transparent, and scalable financial support, helping farmers recover sooner after extreme weather events.
Better Data. Better Decisions. Better Protection.
Reliable weather data is the foundation of every successful parametric insurance programme.
While satellite datasets provide valuable regional coverage, they don’t always capture highly localised rainfall patterns that directly affect individual farming communities. Similarly, the limited density of ground weather stations can leave critical data gaps, making it difficult to accurately measure conditions where farmers actually grow their crops.
To strengthen the accuracy and transparency of the programme, WRMS Global deployed 10 Automated Weather Stations (AWS) across Guyana’s key rice-growing regions.
Working alongside observations from the Guyana Meteorology and Hydrology Department (GMHD), the AWS network delivers reliable, near real-time weather data that supports both insurance triggers and broader agricultural planning.
This investment doesn’t just strengthen the insurance programme—it also enhances Guyana’s long-term weather monitoring infrastructure.
From Weather Trigger to Farmer Support
The real value of parametric insurance lies in what happens after an extreme weather event.
Throughout the cropping season, rainfall data from the AWS network is continuously monitored against predefined thresholds. If drought or excessive rainfall triggers the agreed index, the claim process can begin without waiting for individual field inspections.
This means farmers receive financial support much faster than with traditional insurance.
Quicker payouts help farmers recover sooner, prepare for the next planting season, and reduce the financial uncertainty that often follows climate-related disasters.
When every planting season matters, speed can make all the difference.
Building Guyana's First Climate Safety Net
| Year | Milestone |
| Research & Climate Risk Assessment | Climate risk modelling begins |
| Product Design | Weather index insurance developed |
| Weather Network | 10 Automated Weather Stations installed |
| 2025 | Guyana launches first parametric agricultural insurance programme |
| First Season | 4,418 farmers enrolled |
| Today | USD 2.79 million insured |
Coverage & Claims Overview
The Guyana Parametric Agricultural Insurance Programme is protecting 4,418 rice farmers against drought and excess rainfall, covering nearly 85% of the country’s rice farming community. Powered by weather intelligence, claims are triggered objectively, helping farmers recover faster when extreme weather strikes.
Guyana Parametric Agricultural Insurance Programme
| Programme Overview | |
| Country | Guyana |
| Crop Covered | Rice |
| Climate Risks Covered | Drought & Excess Rainfall |
| Launch Year | 2025 |
| Rice Farmers Enrolled | 4,418 |
| Coverage | Nearly 85% of Guyana’s rice farming community |
| Total Sum Insured | USD 2.79 Million |
| Weather Infrastructure | 10 Automated Weather Stations |
| Technical Partner | WRMS Global |
| Local Insurance Provider | Demerara Fire & General Insurance Company (Demfire) |
| Reinsurance Partner | Zurich Insurance |
| Number of farmers covered | 2000+ |
A Partnership Driving Climate Resilience
Guyana’s first parametric agricultural insurance programme is the result of collaboration between government institutions, insurers, technical experts, and development partners.
The Guyana Rice Development Board (GRDB) serves as the policyholder on behalf of enrolled rice farmers, while UPL Costa Rica supports programme implementation and farmer engagement.
As the technical partner, WRMS Global designed the parametric insurance product, developed the climate risk models, established the weather monitoring framework, and serves as the calculation agent responsible for trigger calculations and payout determination.
Local insurance coverage is provided by Demerara Fire & General Insurance Company (Demfire), with Zurich Insurance providing reinsurance support to strengthen the programme’s long-term sustainability.
Together, these partners have created a scalable model that demonstrates how collaboration can help build climate resilience and protect farming communities from increasing weather risks.
Frequently Asked Questions
What is parametric agricultural insurance?
Parametric agricultural insurance is a type of weather-based insurance that pays farmers when predefined weather thresholds—such as drought or excessive rainfall—are reached, without requiring individual field inspections.
Why is Guyana's insurance programme significant?
It is Guyana’s first national parametric agricultural insurance programme and protects 4,418 rice farmers using objective weather data and climate modelling.
How many farmers are covered?
The programme covers 4,418 rice farmers, representing nearly 85% of Guyana’s rice farming community.
Which weather risks are insured?
The programme protects against drought and excessive rainfall through predefined weather triggers.
Who developed the programme?
The initiative was developed through collaboration between the Guyana Rice Development Board (GRDB), WRMS Global, Demerara Fire & General Insurance Company (Demfire), Zurich Insurance, UPL Costa Rica, development partners, and government stake.
