The Federation of Egyptian Insurance Companies (FEIC), has named several pillars for expanding agricultural insurance coverage in Egypt, particularly among small farmers.
Product design
These pillars include developing insurance products specifically designed to suit the nature of agricultural risks and local production cycles, in addition to using digital technology in designing and distributing insurance policies, assessing damages, and disbursing compensation quickly and efficiently. The FEIC said this in a recent newsletter.
Financial support
The Federation explained that it is necessary to provide financial support or joint financing mechanisms to reduce the cost burden on farmers and ensure their inclusion in the insurance system. It also calls for strengthening insurance awareness programmes to educate farmers on the importance of insurance in achieving financial stability and ensuring continued production.
Databases
The Federation recommended the creation of databases and risk assessment models to improve underwriting processes and product design.
Cooperation
The FEIC pointed out that enhancing agricultural insurance is a national priority that requires integrated efforts between government agencies, insurance companies, and those involved in the agricultural sector.
Risk management
It emphasised that the sustainability of insurance systems does not depend solely on financial support, but also requires instilling a culture of risk management among farmers.
To promote agricultural insurance, the Federation has organised several seminars on agricultural insurance, including a workshop titled "Agricultural Insurance and Climate Change" under the auspices of the African Reinsurance Company, as well as a training seminar in cooperation with the Moroccan Central Reinsurance Company Academy.