Scholarly record
AGRICULTURAL INSURANCE MARKET IN EUROPE AND ROMANIA
Abstract
The experience of developed countries demonstrated that without a strong agriculture insurance market you cannot have a modern and strong agriculture industry in your country. For a farmer, in order to work the land intensive with high quality technology they need big investments. Taking into account these big investments it is very important that the farmer should take into account the associated climate risk which if it is not insured can be very devastating for the farmer. In the last decade the climate change a lot and the intensity and frequency of this risk increased. As example in Romania, the risk of drought did many damages in country in the 2020 and 2019. Many farmers were affected around 80% from their total yield and only with the support of the state they continued their activity. The insurance products are considered an important instrument in climate risk mitigation for the farmers but it is very important that that these products are part from an insurance state scheme. In all type of countries, developed or emerging, state scheme exists but are very different from country to country. These schemes have a direct influence in the development of the agriculture insurance market. By analyzing the insurance market from different countries we identified which are the most important factors that influence the market: the objectives of the state schemes, access of farmers to different investments programs, cost of the insurance programs, subsidies of the insurance offered by the state. In this paper we presented how the local Romanian agriculture insurance market is influenced by different factors like: implementation of national subsidies, enter on the market of new specialized insurers or climate change. Due to these factors farmers reacted in different ways, but anyway the agriculture insurance market in Romania has a big potential as only approximately 20% of the Romanian agriculture land is insured
Publication Impact Profile
Publication details
References8
Kerer J., Background Paper on the Situation of Agriculture Insurance in Kenya with Reference to Internationa Best Practice, Nairobi, Kenia: Adaptation to Climate Change an Insurance (ACCI), 2013;
Mahul O., Stutley C., Government Support to Agricultural Insurance Challenges and Opportunities for Developing Countries, World Bank, 2010;
Wenner M., Arias D., Agricultural Insurance in Latin America: Where Are We?, Inter-American Development Bank. 2013
FAO., Agricultural insurance in Asia and the Pacific region, Food and Agriculture Organization, Bangkok, Thailand,2011;
Swiss Re, Global agricultural insurance market, ICAR forum Bucharest, 1 Oct. 2019;
Marsh Broker de Asigurare Reasigurare, Agriculture practice, available at www.marsh.ro, 2020;
Munich Re, The EU Agricultural (Crop) Insurance and Reinsurance Sector, Workshop on Risk Management, European Commission – DG AGRI, Brussels, 18/19 May, 2017;
ASF, Annual Report, Romania, 2020
View or Download full articleAccess options
SWS access login
Login as SWS Scientific CommitteeLogin as SWS Scientific PartnerLogin as SWS AuthorAuthors and approved SWS contributors will read and export their own linked papers after identity matching by SWS profile, email and SGEM GlobalID.
For librarian assistance: [email protected]
Purchase Instant Access
- Article can be downloaded after successful payment.
- Article may be used according to SWS library access terms.
- Article cannot be redistributed.