Ukraine introducing an insurance mechanism for winter crops

There has been published the Ag Ministry’s decree on state-supported insurance of winter grains against agricultural risks for the wintering period.

The crop survey is conducted from October 15 to December 20.

The covered risks are defined as follows: severe frosts, ice crusts, hurricane winds, dust storms, hail, lightning strikes and fires caused by them, heavy prolonged rains, floods; damping-off, rotting-out, avalanche, land shift, earthquake, winter drought; epiphytosises, wrongdoing by third parties, UkrAgroConsult reports.

The crop loss is meant to be a more than 50% decrease in the plant stand density in crops (accepted for insurance in the fall) that are unable to resume growth in spring (on more than 30% of the field’s total area and covering ​​at least 10 hectares). This fact must be confirmed by a spring survey certificate.

The insurance rate cannot exceed the limit approved by the Cabinet of Ministers and the maximum values approved by the Ag Ministry. These values depend on the region and range from 3.2% for Lviv region to 7.6% for Kharkiv region.

The deductible is applied at the level of 20% of the sum insured for each field separately.