Insurers transferred the first payment due to May frosts in the Russian Federation

The National Association of Agriculture Insurers (NAAI) announced the transfer of the first insurance payment for the loss of crops as a result of an emergency situation caused by the May frosts. The first insurance payment was transferred on May 19 to a farm in Tambov Oblast.

“The first insurance payment for the destruction of crops insured under the emergency policy was made by the AlfaStrakhovanie company: it amounted to several million rubles and was transferred to the farms of Tambov Oblast within one day after receiving the documents,” commented NAAI President Korney Bizhdov. He noted that such a speed of settlement of losses became possible, including thanks to the prompt work on damage assessment, organized by the regional body of the agro-industrial complex, and well-established interaction with insurance companies in the region.

According to the NAAI operational headquarters for monitoring the situation with the settlement of farmers’ losses from emergencies, by May 21, the number of Russian regions affected by extreme frosts increased to 10, the total area of insured crops in them was at least 3.3 million hectares. Insurance companies received the first notifications of damage to crops on an insured area of 225 thousand hectares. Insured crops were damaged in all regions where a state of emergency was declared due to negative May temperatures.

“Almost the entire insured area of agricultural crops in the frost zone is winter crops,” comments NAAI President Korney Bizhdov. – To protect their crops, farmers used two insurance programs everywhere: multi-risk and emergency insurance. In particular, under the emergency loss program, the settlement of losses under which is carried out in direct coordination with regional damage assessment commissions, more than 1.1 million hectares are insured in the regions of a declared emergency due to frost. A curator from the NAAI has been appointed for each region, and the agrarian and industrial complex bodies have been provided with their contact information. Also, the NAAI continues to operate a hotline for insured farmers, and the union has published additional clarifications on the procedure in the regional media.”

The emergency zone, declared in connection with the loss of agricultural crops from frost, currently covers the entire Central Black Earth Region (Voronezh Oblast, Tambov Oblast, Lipetsk Oblast, Oryol Oblast, Belgorod Oblast and Kursk Oblast) and the adjacent regions of the Volga region and the South of Russia — Penza Oblast, Saratov Oblast, Rostov Oblast and Volgograd Oblast. The largest part of the insured crops related to it is located in the Central Black Earth Region — more than 1.5 million hectares. Of these, 414 thousand hectares are protected under the emergency insurance program. In the south of Russia, almost 1.5 million hectares are insured in the disaster zone (862 thousand hectares in the Rostov region, 628 thousand hectares in Volgograd Oblast), of which 625 million hectares are insured under the emergency program. In the Volga region, 331 thousand hectares are insured in the frost zone (185 thousand hectares in Saratov Oblast, 146 thousand hectares in Penza Oblast), of which 102 thousand hectares are insured under emergency policies. “NAAI reminds farmers: if signs of destruction of insured crops are detected, regardless of the insurance program, it is recommended to take photo and video recording of the situation in the fields using available means and promptly contact the agricultural insurer to conduct an inspection of the facility. According to the emergency program, in the event of a loss, payments are made promptly after the insurance company submits an act from the local emergency commission on the write-off of space,” recalled Korney Bizhdov.