According to him, the growth is visible, but neither the farmers, nor the state or the insurers, can be satisfied with this, because the question of the cost-effectiveness of insurance in agriculture arises.
As many as 90% of insured farmers just purchase a basic policy, although due to climate change, some other risks have become primary. First, the spring frost has become a regular occurrence. One must not forget storms and floods, which also have become a common occurrence in recent years, as Duško Jovanović noted.
Speaking about the biggest obstacles that prevent farmers from insuring their production more, Duško Jovanović emphasized lack of education among farmers, which creates the need to institutionally promote insurance as an important element and regular expense in agricultural production.
The Secretary General of the UOS noted that for growth of insurance premiums in agriculture, it would be significant for the state to treat equally all regions in Serbia, i.e. make insurance premium subsidies, which currently amount to 40-70% depending on the region, for example, 60% for all areas.
Amounts of claims paid vary from year to year but are generally above or at the level of premium collected. Considering high costs of agricultural insurance borne by insurers, it cannot be said that this insurance is profitable, Duško Jovanović added.
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