Ensuro Partnership
How Cliff Horizon integrates with Ensuro — the BMA-licensed blockchain (re)insurer that provides counterparty capital.
Ensuro is a blockchain-based, BMA-licensed (re)insurer running on Polygon. It provides decentralised underwriting capital for parametric products — solving the liquidity problem that makes weather derivatives impossible in most markets.
Why Ensuro?
Weather derivatives need a counterparty — someone to take the other side of the trade. For temperature, ForecastEx provides that liquidity. For rainfall, irradiance, and wind — there is no market. Ensuro solves this.
How It Works
- Liquidity providers deposit USDC stablecoins into pools (eTokens)
- Those pools provide underwriting capital for parametric products
- Each partner operates a Risk Module — a smart contract that handles policy injection, pricing, and resolution
- When a trigger event occurs — verified by oracle data — the payout executes automatically
- Premium is split: pure premium → PremiumsAccount; cost of capital → eToken holders; commission → Ensuro + risk partner
Existing Track Record
- Parametric hurricane insurance (US, with Parachute Insurance) — NOAA wind speed trigger
- Weather loss-of-revenue cover (Italian SMEs)
- BMA Innovative Insurance General Business licence (April 2024)
- Audit status: Quantstamp (2022, 2025), SlowMist (2021), DefiSafety 93/100 (2024)
Cliff Horizon's Role
Cliff Horizon is a Risk Module partner. In Ensuro's architecture, that means:
| Function | Cliff Horizon | Ensuro |
|---|---|---|
| Pricing | Produces calibrated P(event) → lossProb | Applies capital loading (MoC, CoC) |
| Risk selection | Decides which products to offer, where, when | Provides protocol-level risk parameters |
| Oracle data | Feeds settlement data (NWS, SatSure) | Smart contract resolves based on oracle |
| Counterparty capital | — | USDC liquidity pool |
| Settlement infrastructure | — | Smart contracts on Polygon |
| Regulatory licence | — | BMA (Bermuda) |
Revenue Model
Cliff Horizon earns on every policy through two streams:
- Analytics subscription (Tier 1 + Tier 2 fee) — charged directly to clients
- partnerCommission (built into Ensuro premium) — earned on every Tier 2 warranty and Tier 3 derivative
Cliff Horizon never bears counterparty risk. Ensuro's USDC pool provides all underwriting capital. If a trigger event occurs, the pool pays the client — not Cliff Horizon.
Integration Path
The integration uses Ensuro's SignedQuoteRiskModule — designed for partners that generate their own pricing off-chain. See Risk Module for the technical integration detail.
The Virtuous Cycle
Better calibration → lower MoC → lower premiums → more policies
→ more premium income to Ensuro's pool → more capital available
→ larger notional capacity → bigger products → more revenue
Cliff Horizon's calibration accuracy is the driver of the entire cycle. The ForecastEx reliability diagram is the evidence that starts it.