The 2021/22 Harvest Plan came into effect on the 1st with R$ 1 billion to subsidize the Rural Insurance Premium. The climate is the main risk factor for rural production and, by taking out insurance, the producer can minimize his losses by recovering the capital invested in the crop.

The estimated amount will allow the contracting of approximately 158,500 policies to protect 10.7 million hectares and a total insured value of R$55.4 billion.

“The planting of the crop is subject to climatic conditions that the producer cannot control, such as drought, excessive rain, hail, frost, strong winds, a series of climatic adversities that can harm production. And, if he does not have rural insurance, he can acquire a debt with financial institutions, cooperatives and input suppliers”, said the director of risk management at the agricultural policy secretariat of the Ministry of Agriculture, Livestock and Supply, Pedro Loyola.

“Rural insurance brings peace of mind to the producer that, in the event of adverse weather conditions, he can receive compensation from the insurance companies, pay his input suppliers and continue in the activity with a cash flow, with a stable income over the years”, explained Loyola.


The Rural Insurance Premium Subsidy Program offers farmers the opportunity to insure their production at a reduced cost through financial assistance from the Federal Government. The subsidy that the government provides to the producer who has everything regularized starts from 20% to 40%, depending on the type of activity and coverage.


It can be applied for by any individual or legal entity that cultivates or produces species covered by the program. “The program allows individual or corporate producers of agricultural activities such as grains, fruits, vegetables, sugar cane, coffee, fruits, to access the program, as well as producers of forests, aquaculture and livestock farming”, he detailed Pedro Loyola.

The subsidy percentage for soy and other grains is 20%. And 40% for fruits, vegetables, sugar cane, coffee, forests, livestock and aquaculture.

The secretary added that it is important to observe the level of coverage and productivity stipulated by the insurer. And that in small losses the insurance is not activated. “The policy is taken out as follows: what is the price of that crop, that product versus the productivity stipulated for that municipality or for the producer, the average productivity and this will give a maximum value guaranteed by the insurance policy”, he observed.

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