Global World Insurance was started crop insurance for the first time in Myanmar since January 2018 as a pilot project and it’s passed over one year

The pilot project for the first ever crop Insurance is now enters for more than a year, and it covers about 300 acres from Ayeyarwady, Mandalay and Yangon now.

According to the source, agricultural sector provides almost one-third of Myanmar’s GDP, representing one-fifth of the country’s exports to the international marketplaces.

With the permission of Ministry of Planning and Finance, Global World Insurance started crop insurance for the first time in Myanmar since January 2018 as a pilot project.

The insurance aims to help farmers by covering damages to crops as a result of erratic weather conditions in Myanmar and it covers only paddy for now, Global World Insurance said.

Crop Insurance is yield base design. GWI added the premium rate for 1 acre is 5000 kyats per year, based on the market price of paddy.  But the premium rate may vary depending on crop varieties, growing season and regions, GWI said.

Director, Global World Insurance Co., Ltd, Soe Win Thant said “Within over a year period, currently, about 300 acres from Ayeyarwaddy region, Mandalay and Yangon have accessed to the service. As it is really helpful for the farmers and able to boost development of the country’s paddy production, we have plans to promote it together with government departments, companies by signing MOU.”

Global World Insurance also highlighted the small coverage of insurance services in Myanmar, and added challenges and needs to develop the industry as well as crop insurance.

Director, Global World Insurance Co., Ltd, Soe Win Thant said “People’s knowledge on insurance services is still limited and most of them think that it isn’t necessary. People access to insurance services in Myanmar is relatively small, not even 1% of the population. Myanma Insurance, Private insurers and government officials need to improve concerted efforts to promote the industry. We need to form National Crops Insurance committee, Crops insurance Law, Crop re-insurance services.”

Private companies are permitted to provide 17 types of insurance services currently, and Industry players believe with the concerted efforts from the officials, the first ever crop insurance will boost the development of the country’s agricultural sector and paddy production.

(Myanmar International TV Channel: https://www.myanmaritv.com/news/crop-insurance-pilot-project-crop-insurance-passed-over-one-year )

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