OJSC ‘State Insurance Organisation’ has developed a new voluntary crop insurance product for winter and spring wheat. The programme is intended for farms and smallholder holdings, as well as agricultural enterprises.

The pilot project is part of the Cabinet of Ministers’ action plan for 2026 and aims to insure agricultural land against the risks of natural disasters.

Insurance for winter wheat will cover the risks of crop kill due to severe frosts, excessive snow cover, the formation of an ice crust and plant rot.

For spring wheat, cover is provided against drought, hail, strong winds, torrential rain, mudslides, flooding and late spring frosts.

In the first phase, the programme will be implemented in the Chui, Osh and Issyk-Kul regions. The minimum total area of crops eligible for insurance must be at least 2 hectares.

Farmers will be able to choose their level of insurance cover — 70 per cent, 80 per cent or 90 per cent of the base yield. Insurance premiums will depend on the region, the type of wheat and the chosen level of cover.

In the event of a claim, the organisation’s specialists will inspect the crops and determine the actual yield. If this proves to be lower than the insured level, the payout will be calculated based on the difference between these figures.

Separate compensation is also provided for the total or partial loss of winter wheat during the winter period. Subject to compliance with the terms of the contract, the payout may amount to 30 per cent of the sum insured attributable to the damaged plot.

Source - https://www.akchabar.kg