Agriculture

Partnering with you at every stage of the risk value chain– from risk identification and evaluation to product development and portfolio analysis

Billions of dollars invested in crop, livestock production, aquaculture and other agriculture operations are exposed to numerous weather, disease and revenue risks.

We are committed to providing you with secure, specialized reinsurance protection for your agriculture risks – always with a consistent focus on superior risk assessment and management. Our lead capabilities are built on a wide array of experience gathered across all agriculture segments, geographies and risk classes.

With farming livelihoods, food supply and indeed the economic health of nations threatened by crop failure or destruction, re/insurance risk solutions for crops continue to grow in importance alongside government support initiatives. We provide clients in diverse world markets with customized solutions for crop risk.

Multi-peril ​ Crop Insurance (MPCI)​

  • Protects standing crops against all weather-related risks and can be extended to include insects and plagues, as well as other risks such as delayed planting and non-emergence of seedlings due to top-soil slaking. For annual crops, coverage incepts soon after planting and continues until completion of the harvest.​
  • The cover compensates for the shortfall between the actual harvested yield and the insured yield. ​
  • The sum insured is set at inception of the policy as the agreed crop value per yield unit, multiplied by the expected yield per area unit, multiplied by the number of area units. The expected yield is based on a 3- to 10-year average.

Crop Hail Insurance

  • Protects the crops standing in the fields. Coverage incepts once the plant emerges above the ground or, for perennial crops, after the appearance of the first green leaves, and continues until harvest.
  • The policy typically indemnifies up to a given maximum percentage of loss per field and is subject to a deductible. It is commonly sold together with additional perils such as windstorm and spring/autumn frost, on a compulsory or voluntary basis.​

Index (parametric) covers utilize payment triggers based not on actual losses, but on defined values of independent weather, commodity-price or crop yield indices. Providing alternative, versatile risk protection, they offer the added bonus of rapid claims settlement.

Our highly-experienced team of agriculture and weather-modeling risk experts has the knowledge and analytical skills to help you develop and implement index covers of all types and on a worldwide basis, from initial concept through to completion.

How do they work?


Payment is triggered when a chosen independent and objective index (e.g. rainfall recorded at a weather station or agricultural commodity price) deviates by a defined amount above or below a defined index value. When that happens, the cover pays out, no loss verification, no delay.

The trigger is chosen to match the level of risk and payment is in line with the potential loss. Multiple triggers are possible, as are dual-index-triggers.

Index covers have specified risk coverage periods and exposure limits, and depending on the jurisdiction, can be offered as an insurance or financial derivative.

When are they suitable?

When traditional products aren’t available. E.g., due to a lack of quality historical production data, or for parties exposed to shortfalls in agricultural production and/or quality who can’t access agricultural insurance, e.g. seed distributors and biofuel producers.

When traditional products offer limited perils only and/or exclusions. E.g., in some jurisdictions, the insurance market offering is limited to crop hail, however drought and flood risks are becoming important risk drivers affecting livelihoods and investments.

When traditional products have large deductibles. E.g., US precision farmers, whose vulnerable profit margins and working capital are at risk from frequency weather events below the deductible.

PartnerRe index cover solutions

An extensive range of index covers
On a worldwide basis, and supported by substantial risk capacity, we offer our clients index covers, including multi-peril and multi-year covers, for all quantifiable weather perils, production indices such as crop yield, or production indices combined with commodity price.

Expert support from concept to completion
We can support you in all stages of the design, from the initial identification of perils, data gathering and analysis, through prototype design, pilots, rating, underwriting and risk taking, policy review and data management. We can also provide objective views and/or participation in existing covers.

Sasa Hu
Sasa Hu
Head of Agriculture
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