An Agricultural Insurance Policy coming out soon

The National Insurance Commission has initiated the design of a comprehensive agricultural insurance policy which seeks to provide insurance to make it suitable and affordable crops and livestock insurance products to boast small and large scale farmers.

Toward this move, the NIC with other stakeholders in the agricultural sector has held a two-day workshop at Prampram to review the policy. Those in attendance included the National Insurance Commission (NIC), Ghana Insurers Association (GIA), Alliance for Green Revolution in Africa (AGRA), Ministry of Food and Agriculture, Ministry of Finance, Ghana Agricultural Insurance Pool (GAIP) and the Kwame Nkrumah University of Science and Technology the body that researched and the developed the draft agricultural insurance policy.

Speaking at the official opening of the workshop, Justice Yaw Ofori indicated that an increase in the nation’s insurance penetration is of key importance to the commission and in developing the commission’s three-year strategic plan in 2017, this were the priorities.

He pointed out that another key objective of the strategic plan was to implement an agricultural insurance policy to make it suitable and affordable for crops and livestock’s farmers.

In view of that, an application was submitted to AGRA to sponsor the development of the policy. Importantly too, with the collaboration between NIC, AGRA, GAIP and the provision of consultant service by the Bureau for Integrated Rural Development of the Kwame Nkrumah University of Science and Technology resulted in the development of the draft policy.

He pointed out that this policy if implemented by the Government will greatly promote agricultural insurance as a modern risk mitigation to improve the resilient of farmers to shocks to production and their livelihood.

He however commended the technical committee lead by Kofi Andoh – Deputy Commissioner to oversee the development of the draft policy and the working group for the great work done.

The Director of Financial Services of the Ministry of Finance – Mr. Sampson Akligoh said, the policy will increase the policy competitiveness financial inclusion and make the country self-sufficient.

He said a well function agricultural insurance landscape had the potential to transform the sector. “As the Government develops policy to promote agricultural insurance in the country, we believe it will increase productivity, competitiveness and financial inclusion in the course of alleviating rural poverty, stabilizing farmer’s income and establishing food sufficiency,” he indicated.

He said the safety net of agricultural insurance will be an effective instrument to drive those goals. Through an effective agricultural policy, he said the Government will be able to partner private players to develop the framework for product development and risk management.

“The policy will also help to streamline the relieve efforts and reduce the direct and indirect caused on the national economy”, he added.

Foster Boateng – West African Director of AGRA pointed out that AGRA is an African-led partnership working across the African continent to help millions of small scale farmers and their families to lift themselves out of poverty.

More importantly, he explained that AGRA strategy seeks to catalyzed and sustain an inclusive agricultural transformation in 11 priority areas including Ghana.