In Zimbabwe, the agriculture sector faces significant challenges due to low insurance penetration, estimated below 2%, and recent droughts exacerbated by El Niño. The Zimbabwe Farmers Union has highlighted the need for insurance, particularly area yield insurance, to mitigate these impacts, but noted a lack of products tailored for smallholder farmers. In response, the Insurance and Pensions Commission (IPEC) and the International Finance Corporation (IFC) launched an agriculture index-based insurance project in 2023 to support smallholder farmers against climate-related losses. Additionally, AFC Insurance, part of the AFC Land and Development Bank group, is offering tailor-made agriculture insurance solutions, including a partnership with the Tobacco Industry and Marketing Board to cover 6,500 small-scale tobacco farmers for the 2023/2024 season against risks like hail and wind damage. These initiatives represent steps towards enhancing the resilience of Zimbabwe's agriculture sector to climate change.