At least 250,000 smallholder crop farmers are set to benefit from a fertiliser insurance programme aimed at cushioning them from climate-related risks.
The National Cereals and Produce Board (NCPB) Managing Director Samuel Karogo, yesterday said the initiative, which integrates climate-smart insurance into the national fertiliser subsidy programme, will be piloted across 11 counties.
It is expected to reach about 250,000 crop farmers before being expanded nationwide.
The pilot phase rollout will cover Makueni, Machakos, Kisii, Migori, Meru, Nyeri, Trans-Nzoia, Kakamega, Kericho, Nakuru, and Uasin Gishu counties, ahead of a national scale-up next year.
The climate change mitigative cover is worth about Sh2 billion, which is placed on the subsidised fertiliser. “This marks a major milestone in the country’s strategy to build resilience among smallholder farmers,” said Karogo, as he launched the programme.
The Ministry will work in partnership with Pula, Bayer Foundation, Lemonade Foundation, SOMPO Digital Lab, and Etherisc to implement a climate-risk resilience initiative that integrates climate-smart insurance into Kenya’s national fertiliser subsidy programme.
“Agricultural insurance is a step in the right direction, especially now that climate-related risks are not a distant threat to our livelihoods. This partnership is critical as it will not only protect farmers from risks such as drought and floods but will also promote a sustainable safety net for our farmers, mainly those in Arid and Semi-Arid areas,” said Karogo. He explained that the project will improve uptake and confidence in the fertiliser subsidy programme by offering value-added services.
Each farmer registered on the Kenya Integrated Agriculture Management Information System in the beneficiary counties will be offered insurance coverage for Sh7,000, which is equivalent to the investment needed for two bags of subsidised fertiliser, which they procure from the government.
In the subsequent seasons, the coverage amount and number of beneficiary counties will be increased.
Karogo said that farmers will be automatically enrolled in the insurance scheme when receiving their subsidised fertiliser, an essential step in the success of this public-private partnership initiative.
The initiative is designed to de-risk smallholder farmers from climate-related threats, marking a major shift toward inclusive insurance at scale.
“In future seasons, the programme will expand its coverage and deploy innovative public-private financing mechanisms to reduce vulnerability and promote sustained investment in agricultural inputs. The partnership aims to embed insurance into subsidised fertiliser distribution, supporting the government’s vision of enabling farmers to adopt climate-smart practices and data-driven tools to improve productivity,” the MD explained.
The 2025 rollout builds on years of other pilot programmes, which reached thousands of farmers.
It leverages Pula’s proprietary tools—the Pula Insurance Engine (PIE) and Mavuno, an AI-powered farmer registration platform—alongside weather, satellite, and on-ground data to monitor rainfall, pests, and diseases. If yields fall below a set threshold, insured farmers receive timely payouts in cash or inputs.
Agriculture contributes 33 per cent to Kenya’s Gross Domestic Product and employs over 70 per cent of the rural population.
Despite this, statistics have shown that fewer than five per cent of farmers have access to formal insurance. “By embedding risk protection into essential government services, this initiative aims to stabilise rural incomes, unlock financing, and foster long-term food security,” said Karogo.
