DA prepares $70 million agricultural insurance pool

MANILA, Philippines — The Department of Agriculture (DA) is securing a $70-million insurance fund with support from the World Bank to cover at least 750,000 farmers nationwide, aiming to protect them from losses caused by calamities and other risks.

Agriculture Secretary Francisco Tiu Laurel Jr. told lawmakers that his department is working on an “agri-insurance pool” program, which will be submitted to the Department of Economy, Planning and Development (DEPDev) for approval.

He said the program, which is planned as a four-year initiative, is targeted to begin implementation in the first half of 2026.

Speaking to reporters after the hearing, Tiu Laurel said the program would include a grant component, but he did not disclose the amount.

“This is also to design an insurance product that will be advantageous to our farmers, aquaculture and fisherfolk,” he said on the sidelines of the Philippine Poultry Show 2025 and the International Livestock, Dairy, Meat Processing and Aquaculture Exposition at the SMX Convention Center in Pasay City.

He added that representatives from non-life insurers Pioneer Insurance and Surety Corp., Malayan Insurance Co. Inc., and Pacific Union Insurance Co. were present at their meeting last Tuesday, signaling strong interest from major insurance firms in the initiative.

The agriculture chief also said they are looking at providing around P50,000 to P70,000 per hectare in coverage, not just for rice farmers but also for those planting high-value crops, mentioning specifically tomatoes, eggplant and ginger.

Coverage will also extend to livestock raisers, ensuring that farmers raising chickens, pigs and other animals can receive support in the event of disease outbreaks or other losses.

This planned program comes as the agriculture sector shows signs of recovery, with both crop and livestock production picking up in recent months.

Data from the Philippine Statistics Authority released earlier this month showed the country’s agricultural output grew by 5.7 percent in the second quarter from a year earlier.

The rebound was driven by improved weather and stronger harvests in crops and poultry, surpassing the 1.9-percent growth in the first quarter and reversing the 3.2-percent drop in the same period last year.

Source: www.philstar.com