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How agricultural insurance weathers losses

Plan for all seasons with agri-business insurance

The agricultural industry is a key part of the economy in South Africa. The changing in seasons and unexpected weather patterns are a challenge for many farmers who supply food produce.  

To plan for unforeseen losses, having a risk management plan and insurance for your agriculture business can reduce costs. 

If you want to protect your crop, farm, family assets and vehicles, you need a solid insurance and risk management strategy in place to recover from unplanned losses. 

Risk management

Risk management is a process of identifying and planning for new and ongoing risks to assess, manage and monitor them (AuditBoard 2021). 

The risk review identifies the potential risks; which in an agricultural business, include unpredictable weather, such as heavy rains and droughts, and how these events could affect the quality and quantity of your production.

Crop insurance

Climate change is causing unpredictable events and affecting many farmers; who are struggling to adapt. 

In some areas, the effects of climate change cause soil to become dryer, resulting in farmers needing to use additional fertilisers to ensure that their crops continue growing (Masiwa 2020). 

Technology is helping farmers better manage their water usage during severe drought periods and thereby mitigate against the climate changes, such as rising temperatures and the drier seasons that are being experienced.

Crop insurance can help you during seasons of drought, floods, windstorms, frost, intense heat and other extreme weather conditions and thereby protect your livelihood and that of those you employ. 

The Crop risk specialists within Standard Bank can help you to put in place a solution that covers visible, quantifiable damage to crops from the following:

  • Hail
  • Fire
  • Lightning
  • Frost
  • Floods
  • Chemical sprays
  • Goods in transit

Agricultural assets insurance

You would also need to look at the changes in an agricultural economy. There is uncertainty surrounding the current economic outlook, and the prices of commodities can be unpredictable and volatile. This is mainly due to farmers needing help to predict how much volume of production they would need to produce. 

Agricultural assets insurance looks at ensuring equipment and vehicle insurance, which is an integral part of a farmer's business. This entails ensuring commercial vehicles, livestock, irrigation systems, transportation of goods, as well as stores and contents. 

For more information on agricultural insurance or to reach out to our experienced agri-insurance brokers, visit our website .


AuditBoard. 2021. ‘10 Types of Risk Management Strategies to Follow in 2021’. [Online] Available: (Accessed 19 May 2023).

Masiwa, D. 2020. ‘7 Impacts of Climate Change on South African Agriculture’. [Online] Available: (Accessed 19 May 2023).