Igloo, Southeast Asia’s full-stack insurtech company building the operating system for insurance, has partnered with DANA, an Indonesian e-wallet platform, to launch DANA Rain Protection, a parametric weather insurance coverage which will automatically compensate users with IDR 50,000 when triggered.
The parametric product is triggered when rainfall at the user’s location reaches 2.5mm or more during the day of purchase and is embedded into DANA’s QRIS payment flow.
The product marks the first time an all-in-one rain protection product is being offered to everyday consumers, tailored to their lifestyles, deepening the existing partnership that already distributes five other insurance products.
Claims will be validated automatically using satellite precipitation data and the user’s GPS coordinates, with no paperwork or human adjudication required.
The pair explained that insurance penetration in Indonesia stands at 2.7%, among the lowest in the region, as everyday weather disruptions remain entirely uninsured for the country’s 280 million people. Historically, rain coverage has been sold to farmers to protect crop yields against drought or flood.
Raunak Mehta, Co-Founder and Chief Executive Officer, Igloo, commented, “Parametric insurance has always solved a critical problem for farmers. What DANA Rain Protection shows is that the technology Igloo has built over the years can make something useful but niche, mainstream, directly benefiting the life of a commuter caught in a downpour.
“DANA’s vast reach and household reputation in Indonesia allows this product to reach millions immediately, enabling protection for Indonesians that meet them where they are.”
Yattha Saputra, Chief Finance Officer, DANA, added, “At DANA, we believe financial services should address people’s everyday needs. Unexpected weather can disrupt mobility, daily activities, and even income, particularly for those who depend on being on the move.
“Through our collaboration with Igloo, DANA Rain Protection integrates affordable protection into a familiar payment journey. Igloo’s parametric claims technology means payouts reach our users automatically when conditions are met, without forms or waiting. That is the kind of embedded, frictionless experience we want DANA to deliver.”
Another product, DANA BNPL Protection, a personal accident product, will also launch this month.
Igloo plans to extend parametric coverage to include ride-hailing and delivery platforms that lose driver capacity and absorb surge costs every time it rains; restaurants, retailers and event organisers; and tourism and travel operators for business interruption.
