Ukraine, like the rest of the world, is facing the consequences of climate change. Every year they become more and more noticeable, and it is no longer a political fashion, because agriculture is experiencing them in practice. Agri-insurance experts have assessed the losses of individual farms as a result of climate change.

"At the beginning of summer, agricultural experts gave a positive forecast for the yield of late crops. The plants had enough moisture, their growth and development was in line with the calendar, and farmers had no reason to worry," says Ruslan Zymovets, Head of Agricultural Insurance at INGO, "However, devastating downpours with hail and storms, followed by high temperatures and a prolonged lack of rainfall in a number of regions put hopes for the harvest in doubt."

For example, farmers in Sumy region faced both drought and excessive rainfall. In Kyiv region, sunflower and corn crops were damaged due to the abnormal heat, particularly in Ivankiv district. In Poltava region, particularly in Pyriatyn district, hail and heavy rains damaged and even destroyed crops in some places. Farmers have lost hundreds of hectares of soybeans, corn and sunflower due to the weather.

"Crop insurance programs exist to overcome the consequences of such phenomena," says Mr. Zymovets, "They allow farmers to compensate for possible losses due to a number of risks, primarily climate impact. Actual calculations of losses and insurance indemnity are carried out by the insurance company's emergency commissioners with specialized agricultural education."

For example, an experimental farm in Artsyz district, Odesa region, which lost sunflower crops on a 200-hectare field due to hail, can expect an insurance indemnity of UAH 5.28 million, provided the average yield is 2.2 t/ha.

A farm in Lokhvytsia district of Poltava region would receive UAH 9 million for the loss of 300 hectares of soybeans due to heavy rains and hail (with an average yield of 2.5 t/ha).

The Kharkiv region has suffered significantly from heat and drought. Farmers note that there were no productive rains of at least 20-30 mm all summer long. At the same time, temperatures reached 40°C, and strong winds were observed from time to time. As a result, one of the companies lost its corn crop. On an area of 500-600 hectares, not only did the cobs fail to set, but the plants did not even reach 1.5 meters in height. The insurance indemnity in this case could reach UAH 26.8 million.

To receive insurance compensation, first of all, an agricultural enterprise must report the occurrence of an event that can be recognized as an insured event. Second, it is imperative to allow experts to inspect the damaged crops. And in no case should the crops be harvested before this inspection. If the investigation of the causes and circumstances of the loss is hindered (in any way), the insurance company will not be able to make the necessary assessment and compensate for the loss.

Any report of an insured event is analyzed by loss adjusters. Only after their conclusion does the insurance company make a decision on indemnification or justify a refusal.