Agriculture is one of the largest contributors to the Gross Domestic Product (GDP). Agriculture plays a vital role in today’s world economy. In the current scenario of uncertain weather/climatic conditions, the farmers are exposed to various risks such as drought, flood, cyclone etc., which impact farm’s yield, conditions of livestock/cattle and farmer’s income. Thus, Agriculture Insurance provides risk mitigation for these unforeseen losses.
Agriculture Insurance consists of following major classes:
- Crop Insurance
- Livestock Insurance
- Aquaculture (Fisheries) Insurance
- Forestry Insurance
Crop Insurance
Majorly, crop insurance consists of two types of covers:
- Indemnity/Yield based Crop Insurance Cover
- Parametric/Index based Crop Insurance Cover
The Index based Crop Insurance Cover can be further subdivided into:
- Weather Index based Crop Insurance Cover
- Vegetative Index based Crop Insurance Cover
Crop Insurance
- Technical Guidance for designing of the products for Index Based Insurance and Yield based Insurance
- Reinsurance strategy and Model based on the client requirements
- Placement of Facultative and Treaty programmes (QS & Stop Loss) with regional as well as International Reinsurers
- Technical guidance for calculation of claims for Weather Index Based Crop Insurance as well as Yield based Insurance based on policy information
Livestock Insurance
Livestock Insurance protects farmers from any unforeseen financial loss in the event of death of their animal(s) due to natural death and/or Permanent Total Disability. It proves to be a life saver by providing financial assistance when it is required the most. There are essentially two types of covers that can be purchased for insuring livestock against mortality.
- The first is the All Risks of Mortality, which is the broadest level of coverage that can be purchased. It is all risks coverage, including disease.
- The second is a more basic form called Restricted Perils and tends to only cover named risks such as fire, earthquake, flood, typhoon and other natural perils. It does not cover against the risk of disease.
Livestock Insurance
- Realizing that insurance pricing is a key factor and concern for farm operators, our approach is to work closely with farms to ensure that their operations are properly profiled to insurers
- We work to assist farms in obtaining a comprehensive insurance coverage
- Placement of Facultative and treaty programmes with Reinsurers
- Technical guidance for designing tailor made products based on requirement of client