Rural Insurance Program presents new features in the Safra Plan

The Ministry of Agriculture, Livestock and Supply published in the Official Gazette of the Union this Thursday (30/06) the 94 Resolution of the Rural Insurance Management Committee. The objective is to establish differentiated benefits in the Rural Insurance Premium Subsidy Program for producers of the North and Northeast and the Low Carbon Agriculture Program (ABC).

The changes, announced yesterday (29/06) during announcement of the 2022/2023 Harvest Plan, were carried out with adjustments to the Three-Year Rural Insurance Plan (PTSR), and will be valid in the years 2023 and 2024. 

Encouraging sustainable practices

To encourage sustainability in agricultural operations, for rural insurance contracts in 2023 and 2024, whose insured is a borrower of the Program (ABC), with a contract in force until December 31 of the previous year, the percentage of premium subsidy for The policies contracted will be differentiated by 25% for soybeans and 45% for other activities. This means that the producer who contracted investment financing from ABC in recent years or in 2022, and who has the contract in force at the end of December 2022, will be able to access in 2023 a different subsidy in relation to the traditional subsidy, which is 20% for soybeans and 40% for other activities. 

The Low Carbon Agriculture Program (ABC) aims to disseminate practices that involve sustainable production and result in low greenhouse gas emissions.

Expansion of coverage in the North and Northeast

Based on one of the PSR guidelines, which is to expand rural insurance throughout the country, the federal government began, in 2019, a policy of highlighting an exclusive budgetary resource for the North and Northeast Regions, as a way of encouraging hiring of insurance policies in these locations.

Last year, a budget of R$ 56 million was highlighted in premium subsidy for exclusive application in those regions, an amount that helped producers in contracting 5.282 policies, with a total insured area of ​​approximately 825 thousand hectares and guaranteeing capital of the order of R$4 billion.

The number of producers served in the North and Northeast Regions rose from 591 in 2018 to 3.963 in 2021, more than doubling the relative participation within the Program. For 2022, grain producers in the North and Northeast regions will have R$60 million in exclusive resources.

Continuing the policy of encouraging the offer and contracting of rural insurance in the North and Northeast Regions, a percentage of subsidy to the differentiated premium of 2023% for soybean cultivation and 2024% for other activities will be applied in the years 30 and 45. . 

Georeferencing of the insured area 

With the aim of increasing data reliability and enabling the mapping of operations contracted with the support of the PSR, from 2022 all insurance policies must contain an indication of the insured area (polygon). Before this measure, the insured area was demonstrated only with a point on the property.

With this measure, the expectation is to improve the information in each policy, better price the risk of insured activities, increase control and monitoring with remote sensing mechanisms. The change makes it possible to better map insured areas and cross-reference data with other information bases. 

Certification of rural insurance professionals 

Mapa is promoting the certification of rural insurance professionals by publishing minimum training requirements for each audience. These documents provide certification guidelines for professional performance within the scope of the PSR, from the origination and marketing of insurance products, to the measurement of losses carried out by experts and the settlement of claims.

Public and private institutions can develop content based on minimum requirements and offer training. Insurance professionals (experts, brokers and insurance professionals) will be able to prepare at these institutions to take tests to certify their knowledge with certifying institutions. By the end of 2022, MAPA will publish more information on the rules, procedures and deadlines for mandatory certification of professionals and for the establishment of certifying institutions. 

Hiring 

Producers interested in taking out rural insurance should look for a broker or financial institution that sells rural insurance policies. Currently, 16 insurance companies are authorized to operate in the PSR.

Rural insurance is intended for producers, whether individuals or legal entities, regardless of access to rural credit, who cultivate or produce species covered by the Program.

In 2022, the premium subsidy percentage is set at 40% for all crops/activities, except for soybeans, whose percentage remains fixed at 20%. This rule applies to any type of product and coverage, according to PSR rules, which can be accessed here.

For more information about PSR, do the download of the application. Just log in to Android and para IOS.