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AGRICULTURAL INSURANCE AGRICULTURE OF FARMERS NOW AND LATER

Insurance For Farms – During this time when you hear the word insurance, the thing that comes to mind is life, health, or work accident insurance.

However, did you know that business assets can also be insured? There are several types of businesses that can be insured, including insurance for agricultural business assets, cattle / buffalo business assets, to fisheries asset insurance. On this occasion, let’s get to know more about insurance in agriculture.

This type of insurance in agriculture aims to prevent losses on the part of farmers in the event of undesirable things during the farming process.

Agriculture is considered to be one type of business that is full of risks, you know. Did you know that agricultural business can lose at any time? For example due to drought, pests, landslides and prolonged rain will certainly disturb the productivity of farmers.

As we know, Indonesia is an agrarian country where around 28.79% of Indonesia’s population works in the agricultural sector as the main occupation.

Indonesia is also a country that is rich in natural resources because it is a tropical country, but because of the tropical climate, this also can cause crop failure in the agricultural sector.

Flooding in the rainy season, drought in the dry season, apart from being caused by the change of seasons, the potential for crop failure can also be caused by pests, plant-disturbing orgasms, and diseases.

When the business fails, it is not only farmers who suffer losses, the community can also be affected. The large number of agricultural land that failed to harvest triggers an increase in prices to the scarcity of goods.

That is why, the government needs to intervene to reduce the risk of crop failure. Agriculture becomes a sector that deserves more attention, this is then the basis for the issuance of Agricultural Insurance for farmers to protect their businesses.

Participation in the Agricultural Insurance program provides an alternative funding scheme that will protect participants so that they can re-finance agricultural businesses in the following season if crop yields fail.

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