Government delivers from S/400 per hectare to farmers: what is the coverage of Catastrophic Agricultural Insurance?

He Ministry of Agrarian Development and Irrigation (Midagri) has implemented outstanding financial support for farmers: the Catastrophic Agricultural Insurance (SAC). This government initiative seeks to provide support to small producers affected by climate risks, pests and diseases.

Through the SAC, the Government provides free compensation from S/400 per hectare. That constitutes an important boost for agriculture and a boost in the face of catastrophes. Below, we detail how to apply for this insurance and what its coverage is.

SAC: what is the amount granted by Catastrophic Agricultural Insurance?

He Catastrophic Agricultural Insurance It operates as a social protection measure financed 100% by the State. In addition, it uses resources from the Rural Guarantee Fund and Agricultural Insurance (Fogasa).

The compensation, established in a unique way, regardless of the crop or its development phase, amounts to S/400 per hectare for non-prioritized crops and S/800 per hectare for those prioritized by the DRA/GRA.. This coverage is limited to 10 hectares per beneficiary.

Catastrophic Agricultural Insurance (SAC): who can apply for it?

The SAC focuses on the protection of small producers and prioritizes subsistence family farming. This free insurance is aimed at those affected by natural events, especially those who are in the most vulnerable and poor situations. Farmers who wish to access this coverage must meet the requirements established by Midagri.

What events does Catastrophic Agricultural Insurance cover?

The SAC provides coverage against a wide range of natural events and those associated with climate change. From high temperatures and landslides to fires, this insurance protects farmers against various risks. We show you the detailed list of events covered:

• High temperatures
• Glide
• Diseases
• Volcanic eruption
• Lack of land to harvest
• Hail
• Frost
• Avalanche
• Fire
• Flood
• Excessive or untimely rain
• Snow
• Pests and predators
• Drought
• Drought for irrigated crops
• Earthquake
• Plugging or non-birth
• Strong wind
• Environmental pollution.

SAC: how to apply for Catastrophic Agricultural Insurance?

The process to activate SAC coverage is clear and efficient, you just have to follow the steps detailed below:

• Once the incident occurs, the farmer must notify the agricultural agency or office in person or by phone call.
• Through the Regional Agrarian Directorate (DRA) and within seven days of the incident occurring, the insurance company is informed, who appoints an expert adjuster to evaluate the damage suffered by the crop.
• The expert assesses the damage in the presence of an agricultural agent and prepares an evaluation report.
• If the loss is compensable, farmers are registered and compensation is paid within an established period.
• For payment, the insurance company opens a bank account and pays the farmer S/400 or S/800 for each hectare of the insured crop, depending on the particular case and within the following 15 days.
• The amount is proportional to the area planted by each farmer and indicated in the register of compensated producers.