Multi-peril crop insurance (MPCI) business Latevo has announced a new underwriting deal with specialist insurance business Assetinsure.

Assetinsure is an Aussie-based company but has the backing of insurance sector goliath Swiss Re.

Latevo chief executive Andrew Trotter said the deal would be a win for Australian agriculture.

“We have been looking for an underwriter that shares our vision for Australian agriculture and has the capacity to deal with the catastrophic seasons that Australian farmers can endure,” Mr Trotter said.

Last season, Latevo paid out claims down the east coast, following drought conditions in Queensland, NSW and Victoria.

Previously, they had a deal with Allianz, but the two parties have parted ways, with Allianz to focus on its own MPCI product.

But Mr Trotter was confident it was onward and upward for his business with its new partner.

“Assetinsure, partnered with Swiss Re, delivers the best of both worlds for Latevo,” he said.

Mr Trotter said with the Assetinsure deal official after months of negotiations, the focus was now on the upcoming winter cropping season.

“We encourage people to get in touch with us now, the work in getting insured with our product is certainly upfront, but once their MPCI contract is in place, both the grower and their banker will be able to rely on the policy to provide sustainable income in circumstances where the season turns against them.”

“The difference between us and other products is that once a policy is in place there are practically no exclusions.”

“Our insurance solution is built on sound accounting assessments at the outset,” Mr Trotter explained.

“This is the reason our product can be underwritten sustainably.”

Assetinsure chief executive Gregor Pfitzer said he was delighted to be involved in the provision of a product he said was a step forward for the Australian grains industry.

“The product is innovative and delivers an essential risk solution for grain growers in Australia,” he said.

Source - http://www.theland.com.au/