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State to pay 100 per cent of farm insurance

The Ministry of Finance has issued a circular effective next month to guide implementation of Prime Minister’s Decision 315 on subsidising agricultural insurance for farmers to help them overcome the impacts of natural calamities and diseases.

Under the two-year pilot programme, the government will pay 100 percent of the insurance premiums for poor farming households and individual farmers.

Those close to the poverty line will be subsidised 80 per cent, and the rest, 60 per cent.

For agricultural production organisations, it will be 20 per cent.

Insurance companies and the Vietnam Re-insurance Joint Stock Corp. (VinaRe) are participating on a non-profit basis.

There will be three categories of agriculture covered – rice farming, animal husbandry, and aquaculture.

Each category will be covered in selected provinces.

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