- June 22, 2012
The almost infinite applications of Big Data have been well documented in this blog, from identifying neighborhoods to empowering digital agencies to uncovering health trends to revolutionizing the dairy industry. Last week, venture capitalists made a big bet on a new use for Big Data, an agricultural insurance policy protecting farmers from extreme weather, or more simply put, weather insurance.
Yup, we’ll write it again, just so you believe us – weather insurance. The Climate Corporation just received $50 million in funding, in order to hire 50 data scientists, software engineers, and quantitative researchers.
The Climate Corp. sells something called Total Weather Insurance, which pays local farmers when they are impacted by weather events that affect their profits. The company uses a massive cloud-driven data analytics service to predict the possibility of extreme weather, along with the potential impact. It prices its insurance policies accordingly based on that information.