Ever since the Government introduced a pilot scheme for agriculture insurance in 20 provinces and cities a year ago, around 135,916 households have joined in the program, 85 percent of who are very poor.
Agriculture insurance has so far lured only 135,916 households, collecting VND126,770 million (more than US$6,000) for insuring of trees, plants, animals and aquaculture valued at VND2,000 billion ($96 million).
The entire rice area of 24,792 hectares is insured belonging to 125,539 households, valued at VND800 billion ($38 million).
In reality, insurance companies have compensated farmers VND6 billion and aquatic breeders VND19 billion for losses arising from natural disasters such as drought, floods and storms.
The Ministry of Finance will work with the Ministry of Agriculture and Rural Development and the people’s committees of provinces and cities to increase the premium rate for those living close to the poverty line.