Future Generali ventures into providing Weather Insurance for crops

 

Mumbai, November 2013: Future Generali Insurance, the insurance joint venture between Future Group and Generali offers ‘Weather Index Based Insurance’ products approved by IRDA and has been empanelled by the Government of India (GOI) since February 2013 for crop scheme transactions.

 

Future Generali participated in the GOI’s “Weather Based Crop Insurance Scheme (WBCIS)” and “Modified National Agriculture Insurance Scheme (MNAIS)” in the state of Uttar Pradesh, Bihar, Jharkhand, West Bengal and Haryana and procured substantial business, which includes Central Government and State Government subsidies. As the Kharif 2013 season commenced from June 2013, all major crops (Paddy, Maize, Jowar, Bajara, Arhar, and Groundnut etc.) and few horticultural crops were covered under this program.

 

Crop insurance was made available by Future Generali to approximately 1,30,000 farmers with over 1 lakh hectare area coverage. Future Generali disbursed 18 crores claims to about 40000 farmers in Bihar immediately after the season was over. For the impending Rabi Season, Future Generali has set a reasonable business plan to expand its reach across diverse geographies and cover larger areas and more number of farmers.

 

Dr. Ajay Verma, Head- Rural Business, said, “The weather index based insurance market in India is among the largest in the world. Having transitioned from small-scale and scattered pilots to a large-scale weather based crop insurance program today, it covers a large number of farmers. India’s agrarian economy is highly dependent on its unpredictable weather conditions. With majority of the crop growing areas being rain-fed and with shifting weather trends, farming output is highly risk prone. Any adverse effect on the agricultural sector will have a direct impact on the economy.

Policies offered by Future Generali, cover cost of input and bigger operational costs of agricultural or non-agricultural economic activities; which can be availed of by farmers, banks, financial institutions / companies extending credit facility for agricultural / nonagricultural seasonal operations, whose repayments are affected by weather conditions. A recent formulation of National Crop Insurance Program (NCIP) and rolling back of NAIS would have a long term positive impact on Agriculture Insurance”

 

Weather Index Based Insurance products are designed to pay out when an independent measure of a loss such as rainfall, temperature, wind speed, and relative humidity.

 

Future Generali is currently active through 105 offices. Our wide network of licensed agents and offices ensures that we are close to you wherever you go.

 

 

For further information, please contact

PR 24×7 Network Ltd.

Atul Malikram