Uman NUH | today: 10/18/2024
| Author(s) |
Vlasyuk S.A., , , Uman National University of Horticulture Цимбалюк Ю. А., , , Ролінський О. В., , , Заярна К. О., , , |
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| Category | Economics | ||
| year | 2023 | issue | Issue number 103. Part 2 |
| pages | 63-72 | index UDK | 338.4:631.1 | DOI | 10.32782/2415-8240-2023-103-2-63-72 (Link) |
| Abstract | Recently, one of the risk’s minimization ways as well as the mechanism for protecting the interests of business entities is the insurance of agricultural products, including with state support through the subsidy mechanism. With the beginning of the full-scale invasion from 24.02.2022, the war continues to affect the functioning of the Ukraine’s agrarian insurance by making changes to its mechanism operation. The study of this topic is inspired by the current military actions on the territory of Ukraine, which brings the danger to farmers, mining of lands, destruction of the property of agrarians with no opportunity of their compensation. It was found that the agricultural sector of the economy in general is constantly associated with high risks, such as environment and climate, yield’s conditions and amount, political situation in the country, etc. In this context, agricultural insurance is one of the most effective tools for minimizing the impact on agricultural producers functioning efficiency. Insurance protection is designed to ensure the continuity, balance and stability of agribusiness development in agricultural markets. The insurance market of Ukraine is characterized by a fairly wide list of types and services of insurance in the field of agricultural production, which can be used by producers to minimize risks. It was found that state support is quite important in this area, because agricultural institutions are vulnerable to the current situation. Unfortunately, according to statistics, a bit more than 5 % of Ukrainian agricultural land is insured. Comparing Ukrainian and international markets, we realize that the leader in the field of agricultural insurance is the USA, where 90 % of agricultural land is insured. However, even with government support and use of insurance schemes, the current military situation requires some adjustments. One of the possible ways to develop agricultural insurance in Ukraine is to expand state support for agricultural enterprises. This will help to reduce the cost of insurance premiums for agricultural producers and make insurance more affordable. | ||
| Key words | agricultural insurance, agricultural risks, insurance market, risk minimization, agricultural sector | ||