About this round table
The Center of Excellence in Finance (CEF) and the Insurance Supervision Agency of Slovenia (ISA) are organizing a round table on April 10, 2014 at the premises of the CEF, Cankarjeva 18, Ljubljana, Slovenia.
Disasters hit hard. Adverse weather events such as drought, excessive rains, storms, and hurricanes cause heavy losses to farmers. Disasters often cannot be prevented but they can—to some extent—be predicted and arrangements can be made to reduce their impact. In any case, the farmers will have to cope with major losses after the event occurs.
Agricultural insurance, including livestock, fisheries and forestry, is especially geared to covering losses from adverse weather and similar events beyond the control of farmers. Agricultural insurance is not a universal solution to the risk and uncertainties that farmers face. It can only address a part of the losses resulting from some perils and is not a substitute for good on-farm risk-management techniques, sound production and farm management practices, and investments in technology.
As agriculture remains a source of livelihood for almost half of humanity and it is also a source of growth for national economies and can be a provider of investment opportunities for the private sector, the governments in most countries have been increasingly involved in the support of commercial agricultural insurance programs, often by subsidizing premiums. Main reasons for governmental support/involvement in agricultural insurance are:
- the presence of systemic risk (the systemic component of agricultural risks can generate major losses in the portfolio of agricultural insurers);
- informational asymmetries (it may be very difficult for private entities to measure risks, collect relevant data…the development and maintenance of agricultural and weather databases as public goods);
- post-disaster assistance programs;
- lack of infrastructure support for agricultural insurance (exact public databases and quantitative tools to better assess their catastrophe risk exposure);
- low risk awareness by farmers (education programs for farmers and supporting the marketing and promotion programs of the private commercial insurance sector),
- lack of insurance culture (agricultural insurance is viewed as a nonviable investment, privilege of the rich);
- regulatory impediments, etc.
Who should attend
The round table is designed for the highest level of representatives of ministries of finance, insurance supervisory authorities, and insurance undertakings of the Western Balkans. Lecturers from ministries of agriculture, other regulatory and/or supervisory authorities and insurance companies from different countries and international organisations will share their experiences and views regarding the detection and prevention of fraud in insurance business.
The round table will be held in English with no translation available.
