PriyaPatel
TLDR:
- Howden acquires MiCRO to expand parametric insurance solutions in Latin America
- MiCRO, a microinsurance specialist, will benefit from Howden’s resources to scale its parametric solutions
Howden, a leading insurance broker, has acquired MiCRO, a microinsurance specialist focused on providing parametric insurance coverage to underserved populations in Latin America against natural catastrophes. The strategic move aims to enhance MiCRO’s capabilities by leveraging Howden’s international presence, global market access, and advanced data and analytics expertise. MiCRO, which operates across four countries in Latin America, offers financial protection to smallholder farmers and micro-enterprises affected by natural disasters using a parametric insurance model. The acquisition of MiCRO by Howden signifies a strategic alignment towards addressing insurance gaps and promoting resilience in underserved communities, particularly in the face of climate change.
The collaboration also presents opportunities for MiCRO to explore synergies with Mercy Corps, as part of the deal. MiCRO has demonstrated significant impact in addressing insurance gaps in the region and, with over 180,000 active policyholders by the end of 2023, is well-positioned for further expansion with the support of Howden’s resources and network.
Carlos Boelsterli, CEO of MiCRO, expressed optimism about the partnership with Howden and highlighted the importance of empowering marginalized communities with access to the correct insurance cover. Similarly, Charlie Langdale, Chair of Climate Risk and Resilience at Howden, emphasized the potential of microinsurance in fostering resilience among underinsured communities, particularly in the face of climate change.
