The landscape of agriculture microinsurance has evolved over the last two decades.  Governments are increasingly using agricultural insurance as a mechanism to manage catastrophic risks. Satellites and automated weather stations have improved efficiency of loss verification for indemnity-based schemes. 

Weather-index insurance has spread because of its potential to reduce costs and moral hazard.

To fulfill the potential of agricultural microinsurance, pilots need to be converted into sustainable schemes. Challenges around basis risk, pricing, and data limitations still need to be addressed.