Agriculture is the foundation of millions of Kenyan livelihoods, national food security and rural prosperity. Yet it is also the sector most exposed to climate risk.
Every planting season is increasingly a gamble against drought, floods, pests, diseases and unpredictable weather.
This year, erratic rainfall has devastated harvests. In Nakuru, one maize farmer harvested 120 bags from five acres last season but only 26 bags this year using similar practices on the same land.
In Taita Taveta, crop failure has left tens of thousands facing food insecurity, while in West Pokot, thousands of households require food assistance.
For farming families, crop failure means depleted savings, inability to repay loans, children withdrawn from school and increased dependence on humanitarian assistance. This is why agricultural insurance must become a central pillar of Kenya’s agricultural transformation agenda.
Last year, Kenyans spent Sh2 billion insuring crops and animals, according to the Insurance Regulatory Authority. Although this nearly doubled the previous year’s figure, fewer than one per cent of farmers reportedly insure their crops.
Agricultural insurance is more than compensation after disasters. It gives farmers confidence to invest in improved seed, fertiliser, irrigation and mechanisation, knowing catastrophic weather will not wipe out their investment. It also strengthens the wider agricultural value chain by improving farmers’ access to credit and reducing the burden of emergency relief.
Technology can help expand coverage. Satellite imagery, remote sensing, automated weather stations, artificial intelligence and digital claims assessment can improve accuracy and speed up payouts.
Parametric insurance can trigger automatic payments when rainfall, temperature or vegetation indicators reach agreed thresholds. Kenya’s mobile phone and mobile money infrastructure provides a strong foundation for digital distribution.
Scaling agricultural insurance requires coordinated action by government, counties, insurers, banks, saccos, agribusinesses and development partners. Farmers must also see insurance not as an optional expense but as an investment in resilience.