One of the most important areas that play an important role in the development and elevation of the country's economy is the agricultural field, because of its contribution to the collection of resources that the collectors sell or transfer to other industries that contribute to solving various problems in the country.
From here, we address the importance of having an agricultural crops insurance policy against any risks that may occur as a result of external conditions, and accordingly, government bodies issued a complete quantitative model for pricing agricultural crops and accordingly pricing the agricultural crops insurance policy based on:
Degree of danger.
The percentage of loss in the agricultural crop, regardless of the cause of the loss.
Therefore, in this article, we give you some details about the agricultural policy and its importance for all farmers, in addition to the risks covered by the document as well as the exceptions that it avoids, so here is more.
The Agricultural Crops Insurance Policy is a policy that has been included to protect agricultural crops from losses resulting from disasters and natural causes.
According to the programs offered by the Ministry of Agriculture's Risk Department, insurance companies offer several different plans to insure crops and livestock.
The agricultural insurance policy is characterized by its ability to protect the right of farmers and manage risks related to natural causes without the ability of farmers to mediate them, such as drought, excessive humidity, cold, frost, wind and other reasons.
Crop Revenue Insurance is a policy that gives the farmer the ability to set a fixed income regardless of the years when the crop is poor or the yield of the crop is low for cost.
Crop Revenue Insurance means the amount incurred by the insurer compared to the profits of previous years after determining the amount of decrease in income for that year.
The importance of this insurance in helping farmers and agricultural workers is characterized by protecting their annual profits from sharp fluctuations in crop prices, regardless of the reason.
Agricultural crop insurance covers losses caused by many reasons, including reduced yield due to natural events such as:
Destructive weather (hail, frost, harmful wind).
Diseases.
Drought
Humidity.
Conflagrations.
Floods.
Insect damage.
Deficit of rainfall or excessive rainfall that harms crops.
Heat waves that harm crops.
Loss or damage resulting from the wrong storage of the crop or during storage.
Capital loss, such as the cost of agricultural land, or loss of supporting structures for the insured crop, irrigation systems, agricultural equipment, and tools.
Damage or loss of yield caused by lack of soil nutrients.
Intentional negligence of the insured, workers on agricultural land, or others.
Damage to fertilizers and pesticides stored in agricultural land and insured fields.
Natural disasters such as earthquakes, volcanoes, and causes other than those covered by insurance within the policy.
Loss due to theft of any kind, including theft during or after the occurrence of any insured risk.
Failure to follow the agreed methods of planting and harvesting.
Damage caused by radioactive contamination or nuclear reaction.
The crops insurance policy is of paramount importance to farmers, as it provides many benefits represented in the:
Reducing the value of material losses and reducing debt, and the ability to repay agricultural loans even when the crop is damaged.
Giving farmers the ability to take the risks of growing new crops and advanced modern farming mechanisms.
Always have a stable income and stabilize the financial conditions of farmers, especially during catastrophic years.
Reduce risks and improve risk management from natural climates.
Providing insurance coverage and financial support to farmers in case of crop damage Causes of ambient conditions and the environment as mentioned earlier such as excessive rain, drought, fires, and others.
Immediately after the damage to crops and agricultural lands, the insured must comply with some things in order to obtain the full benefit from the agricultural crops insurance policy, so he must:
Inform the insurance company of the incident within 48 hours of the event.
Keep the unit or agricultural land in its condition until inspection procedures are taken.
Compliance with all items agreed upon between the insured and the insurance company and their implementation immediately after damage to agricultural land or crops.
The "insured" farmer submits to the insurance company all the papers that include his ownership or acquisition of such lands, as well as the permits for their cultivation and suitability for those agricultural crops, and accordingly the insurance company submits - in accordance with the laws listed by the Risk Department at the Ministry of Health - to submit an insurance policy for agricultural crops suitable for that farmer.
Both the insurance company and the insured agree to abide by all the items listed in the policy and to perform each of them as applicable therein.
This is entirely based on the use of satellite data and remote monitoring of agricultural crops, allowing insurance companies to view and analyze the condition of agricultural crops and agricultural land more accurately before and after losses.
The use of satellite data allows insurers to develop better plans to protect land in a profitable way, so that agribusiness consultants can improve the quality of agricultural work and protect production from potential losses.