The Government will raise agricultural insurance by 30 percent, on average

by time news

2023-08-07 11:47:48

Agro-food cooperatives has regretted this Monday that the State Agricultural Insurance Entity (ENESA) approve a rate increase agricultural insurance Agroseguro 30% on average in the entire line and 42% in rainfed crops, such as cereal.

The group has indicated that this rate increase, approved on July 31, had the support of the Insurance Compensation Consortium (CCS) and of the General Directorate of Insurance (DGS)but which was opposed by cooperatives, agricultural organizations and the autonomous communities.

Agro-food cooperatives He has blamed this rise in rates on the drought this year, since compensation for a value of 455 million euros is foreseen only for extensive arable crops.

The organization understands that agricultural insurance must be made sustainable, especially given the current climate reality, but considers that “balance cannot be achieved in a single year and should be done gradually in at least two years.”

Cooperatives have emphasized that “in a scenario of drought and with overflowing production costs, increasing insurance premiums by 30% is nonsense”, especially considering that this calculation has been made without the campaign being closed.

Scared of insured

«This increase in rates can cause a scare of insured for whom the payment of the policy for the next harvest is unaffordable, since in some regions the rate increase is 100% compared to last year and, also, coming from a year with hardly any harvested production”, has expressed Cooperatives.

The organization has recalled that the extensive arable crop insurance It is the first insurance in terms of premiums (it accounts for almost 25% of the premium receipt for agricultural lines) and the level of implementation reaches 68.38% in terms of insured area compared to cultivated area and that, for them, always He has unsuccessfully requested “absolute prudence in order to modify it”. EPHEAGRUS

Advertising

#Government #raise #agricultural #insurance #percent #average

You may also like

Leave a Comment