Group 8
2022-06-15

Spring Frost: Devastating Crop Loss in Australia

Increasing spring frost risk for Australian crops 

Every year, spring frost costs Australian grain growers an estimated $360 million in direct and indirect losses. Over the last century, climate change has driven an increase in average temperatures 0.09°C across Australia. As a result, the region is experiencing more hot days and fewer cold days, thus frost events and their damaging effects are projected to decrease. However, while it may seem counter-intuitive, climate change may in fact aggravate the risk of spring frost – for instance, by accelerating the crop phenology and causing the heading time to occur earlier in spring. 

Due to the physical structure of plants and lack of technology available, rapidly assessing the occurrence of frost and mapping the temperature across paddocks proves challenging. Instead, farmers must wait several days or weeks to determine the level of damage. This delay impedes critical decision timelines, such as whether to cut for hay or continue harvesting. 

Farmers in Australia, nevertheless, are left under protected. As frost driven losses rise, traditional capacity is limited and continues to contract. Meanwhile the challenge farmers face in finding coverage for their specific needs, in terms of peril and risk period, also becomes more difficult. 

Descartes’ parametric insurance to better protect farmers from spring frost 

Descartes’ parametric frost insurance helps farmers build resilience and bounce back faster from extreme weather events. Based on our data-driven approach, Descartes offers transparent, bespoke and cost-efficient solutions. Our tailor-made policy allows brokers and their clients the ability to choose their own risk period, with predefined temperature thresholds corresponding to their exposure, budgets and risk appetites. 

Fill out the form to download our latest fact sheet and learn more about Descartes’ parametric frost insurance in Australia. 

Increasing spring frost risk for Australian crops 

Every year, spring frost costs Australian grain growers an estimated $360 million in direct and indirect losses. Over the last century, climate change has driven an increase in average temperatures 0.09°C across Australia. As a result, the region is experiencing more hot days and fewer cold days, thus frost events and their damaging effects are projected to decrease. However, while it may seem counter-intuitive, climate change may in fact aggravate the risk of spring frost – for instance, by accelerating the crop phenology and causing the heading time to occur earlier in spring. 

Due to the physical structure of plants and lack of technology available, rapidly assessing the occurrence of frost and mapping the temperature across paddocks proves challenging. Instead, farmers must wait several days or weeks to determine the level of damage. This delay impedes critical decision timelines, such as whether to cut for hay or continue harvesting. 

Farmers in Australia, nevertheless, are left under protected. As frost driven losses rise, traditional capacity is limited and continues to contract. Meanwhile the challenge farmers face in finding coverage for their specific needs, in terms of peril and risk period, also becomes more difficult. 

Descartes’ parametric insurance to better protect farmers from spring frost 

Descartes’ parametric frost insurance helps farmers build resilience and bounce back faster from extreme weather events. Based on our data-driven approach, Descartes offers transparent, bespoke and cost-efficient solutions. Our tailor-made policy allows brokers and their clients the ability to choose their own risk period, with predefined temperature thresholds corresponding to their exposure, budgets and risk appetites. 

Fill out the form to download our latest fact sheet and learn more about Descartes’ parametric frost insurance in Australia.