"We want to have volumes, if not like in 2023, then at least more than what was registered in 2024, in order to restore volumes in 2026 and develop it further", the minister said. He added that it is planned to subsidize part of insurance premiums in the amount of AMD 1.490 billion (~EUR 3.60 million) and insure 15 thousand hectares of land.
The agroinsurance program was launched in Armenia in September 2019 and continued to operate until 2023, in fact, in a pilot mode, covering six regions of the country. Insurers began selling policies in early 2020. Swiss Re was the reinsurer. In 2024, due to the withdrawal of the reinsurance company from the agroinsurance market of Armenia, insurance companies were unable to fully assume insurance risks, given the high losses caused by climate change. For this reason, the program in 2024 started late, it was necessary to find a temporary solution for the current year and change the program's approach.
In order to implement the pilot program in 2024, the government decided not only to subsidize insurance premiums, but also to compensate for the expenses of insurance companies in the event of exceeding a certain threshold of insurance payments, the source writes.
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