In the recent episode of the Iowa Tech podcast, host Micah Walker, broadcasting from the Jethro’s Barbecue Studio, welcomed Roberta Leão from Layer 1 Agriculture Inc., a promising startup in the agricultural insurance sector. Layer 1 Ag is pioneering new methodologies in assessing farm-level risk using AI-powered tools, focusing on a reimagined approach to crop risk and precision underwriting. Roberta, originally from Brazil, shared her background in the sugar and ethanol industry, which fueled her passion for agricultural insurance and led her to launch Layer 1 Ag.
The discussion delved into the challenges faced by farmers, particularly in Brazil, where traditional crop insurance models have been inadequate. Roberta highlighted that the current insurance landscape often overlooks the resilience and adaptability of farms, focusing too much on past yield performance. Layer 1 Ag aims to address this by using alternative data sources, such as satellite imagery and IoT sensors, to provide a more nuanced understanding of farm risk.
Iowa stories for your inbox
Justin, David, & Kaylee cover Iowa news, agriculture, business and tech. No clickbait. No rage. No agenda. Support our vision and subscribe!
Layer 1 Ag’s AI platform, L1A Risk, offers a predictive risk scoring system akin to a FICO score for farms. This system evaluates various risk factors, such as climate impacts and crop vulnerabilities, to tailor insurance products to specific needs. The goal is to create parametric indemnity insurance that is more precise and accessible.
The conversation also touched on the technical and regulatory hurdles Layer 1 Ag faces, such as data fragmentation and sparsity, which are being addressed through advanced AI and machine learning techniques. Roberta emphasized the strategic choice to base the company in Iowa, leveraging the state’s strong ties to the insurance industry and agricultural innovation.
Looking forward, Layer 1 Ag plans to expand its offerings in the U.S. by targeting underserved specialty crops and entering the Brazilian market, where there is significant potential for growth in agricultural insurance. The company is actively fundraising to further develop its technology and market presence.