Groupama and the group Agricultural credittwo leading actors in thecrop insurancewelcome the latest arbitrations on the reform of climate risk management announced by Emmanuel Macron at Jim’s Land.
” The reform of the climate risk management in agriculture now has the main parameters necessary for its implementation “, commented on September 12 the Groupama group in a press release welcoming” the very positive progress announced by the Chairman, which provides the financial means for a proactive and effective risk hedging policy in a climatic context more and more chaotic “.
Omnibus rule and 90% coverage by national solidarity
As a reminder, after a week of tense discussions, Emmanuel Macron confirmed the budget of 600 million euros on September 9, with an extension of 80 million euros if necessary.
The President of the Republic also confirmed the 100% application of the European Omnibus regulation with the losses threshold at 20% and a public support increased to 70% of the premium. For the highest risks, 90% coverage by the national solidarity fund (FSN) compensation paid to policyholders was announced.
We are now waiting for the decrees
Arbitrations that also satisfy the Crédit Agricole group, according to group officials present this week on the Space. ” We are now waiting for the decrees said Jean-Christophe Roubin, director of the agriculture market at Credit Agricole SA, September 13 during a conference on Space in Rennes. And to point out a few questions that remain unanswered, such as the threshold for triggering the national solidarity fund and the level of intervention of the DSF for uninsured. ” We are talking about a 30% loss on animal husbandry and arboriculture and 50% on the viticulture and the big cultures “, confided Jean-Christophe Roubin, to Space.
” We are going to be very very mobilized to promote this system “, he concluded.
A necessity: publish decrees, orders and specifications as soon as possible
“ The effectiveness of this reform on 1er January 2023 will require an unprecedented mobilization of insurersof the agricultural professional organizations and of theadministrationn in order to publish, within extremely tight deadlines, the decrees, orders and specifications necessary for the operational implementation of the system “, declares for its part Groupama in the press release of September 12 which recalls the importance of ensuring the financial balance of “ this new device and at the pooling of risks through a group of insurers. “SRest assured that all of Groupama’s elected officials and employees are mobilized. It remains today to finalize the technical work. Let’s not waste our time ! commented Jean-Yves Dagès, Chairman of Groupama Assurances Mutuelles.
Simulation of the cost of weather risk insurance
On the ground, the teams are mobilized, wishes to underline Crédit Agricole en Bretagne on Space. “ In Brittany, we insure a third of the farms », affirms Michèle Guibert, general secretary of Agricultural credit in Brittany. ” The climatic hazards are present and will increase, the device level includes a strong incentive for the farmer and better support from the National Solidarity Fund. Farmers are encouraged to commit they must at least be registered with the DSF “, she specifies.
Crédit Agricole in Bretagne has also made cost simulations what this new climate insurance will have for farms.
The annual contribution net of state aid would be 26 euros per hectare of cereals
“ For example for a dairy farm average, with 530,000 liters of milk, 64 hectares for feed and 19 hectares of cerealswith a 25% deductible, a covered price of 300 euros per tonne for cereals and 900 euros per hectare for grassthe annual fee (from climate risk insurance, editor’s note) net of state aid would be 26 euros per hectare of cereals and maize and 13 euros per hectare of meadow “, advanced Michèle Guibert. “ Knowing that the overall cost of insurance for a farm is 5000 euros per year, it puts the cost of this insurance into perspective a lot “, she continued.