Crop insurance take-up still low, but growing
Published:Wednesday | June 25, 2025 | 12:05 AM
GK General Insurance Company says more than a thousand farmers have taken up coverage under its Weather Protect policy, with nearly half of that number being added in 2024.
The product, which was launched six years ago, provides coverage for farmers and fishers against losses from heavy rain, hurricane winds and drought.
Coverage is mainly taken up by small farmers of crops and livestock, said GK General. Some of the business has been driven by government subsidisation of the first level of coverage for several farmers as well as Jamaica Network of Rural Women Producers’ funding of coverage for 30 of their female members.
“Since our 2021 launch, our GK Weather Protect product has seen over 1,060 farmers taking up the offering with close to 500 new farmers for the 2024 period. The product also made claims payments in November 2023, and again in 2024 as a result of the devastation caused by Hurricane Beryl,” said GK General’s Client and Partner Services Manager, Orette Duncan.
“Approximately 77 farmers received a payment for hurricane winds coverage,” Duncan said.
However, the size of the payouts was not disclosed.
The take-up of agri-insurance is relatively small compared to population of registered farmers, which is around 178,000.
Duncan said challenges encountered by GK General in the distribution of the Weather Protect policy included “the need to simplify the product terminology and offerings to ensure it is easily understood by farmers”, and the financial capacity of farmers to purchase the product.
Various farming groups and associations have been helping to raise awareness and educate their members on the importance of crop insurance, he said.
After Hurricane Beryl, the insurance company made several payments to farmers, even though there was a gap in the coverage period when the storm hit.
“This shows that we are not about just collecting premiums, but we genuinely care about our farmers,” said Duncan.
“One farmer from St Elizabeth was significantly impacted and lost more than eight of his greenhouses. GK General stepped in to ensure that he received payment even though there was no coverage at the time. We are proud to say that he has started the rebuilding process and has since reaped a significant number of crops given our assistance,” he said.