In 2006 a baseline survey was administered to 1500 households in 100 villages of the Anand, Ahmedabad, and Patan districts of Gujarat, to gain data on demographics, income, savings, investment, attitudes towards risk, financial literacy, and experience with insurance.
Following the survey, SEWA and ICICI/Lombard began offering rainfall insurance to all villagers (not just survey respondents) in 32 villages randomly selected from the 100 surveyed.
It offered protection against both deficit as well as excess rainfall. The policy, covering 110 days over 3 phases, had an average premium of Rs. 202 and a total sum insured of Rs. 1485. SEWA marketing teams traveled to each of the 32 villages in order to explain and market the policy through village meetings and household visits. Payout was dependent on rainfall collected at the district level. Later that year the original 1500 households were surveyed again, as well as any other households that had purchased rainfall insurance. In 2007 with better marketing techniques, weather insurance was offered to an additional 20 villages, though these policies covered only rainfall deficits. Households were resurveyed in March of 2008. Since then, in 2009, 8 entirely new treatment villages were added, bringing the number of villages in the study to 108 and the number of households to 1900.
Rainfall was not low enough to trigger payouts by the terms of the policy in 2006, 2007, or 2008. However, in 2009, households in several blocks of Ahmedabad and Anand districts received compensation for low rainfall according to the policy offered that year, which was underwritten by the Agriculture Insurance Company of India.