Insurance firm courts farmers

AFRICAN Grey Insurance Limited says efforts to improve farmers’ access to agricultural insurance products are more substantial now, due to the current climatic conditions and various challenges affecting the development of the sector.
Company manager for agriculture and agents Mulenga Mutale said there is need to create a long-term efficient and sustainable insurance system for the agriculture sector that will help improve knowledge access on the importance of insurance among farmers.
Mr Mutale said in an interview in Chisamba recently that limited information on the importance of insurance is affecting insurance uptake among the farming communities, and this has resulted into farmers acquiring losses.
Mr Mutale said currently, there is low penetration level of insurance uptake in the sector due to limited access to information among farmers.
“There’s been talk to improve the welfare of small-scale farmers because they need to graduate to commercial farmers, but how do they do that if the weather patterns are always changing, and every farming season we have droughts, fires, floods and diseases? So, it only becomes important for farmers to insure their crops, especially that most of them borrow finance using their crops as collateral,” he said.
Mr Mutale, however, said the African Grey Insurance Limited is committed in contributing to the development of the agriculture sector by conducting trainings on the importance of insurance access not only in the farming businesses, but the livestock sector and the publics as well.
He said insurance providers should get closer to farmers to provide them with knowledge on the importance of insuring their crops and assets.
“We need to start getting closer to the farmers, we need to give them the information that they require about insurance to increase insurance uptake. The weather is something we cannot control, so insurance should be part of farmers’ risk management plans to avoid losing income,” he said.

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