A tractor harvesting corn | Sowing expertise, harvesting security: Insurance for the food and agriculture industry

They that sow expertise shall reap security Coverage for the food and agricultural industry

Few industries are at the centre of attention of politician and the public as much as the food and agricultural industry. But many of the players do not have appriopriate processes for emergency situations in place. Efficient recall systems, credit risks, increasing international expansion, multi-stage production processes, supplier risks, and international procurement: complex challenges that require an appropriate response in terms of risk management.

We cover your risks along the entire value chain. We know our way around the local plantations and fields as well as the processing centres, ships, and ports along the way.

  • Property and business interruption coverage
  • Crop insurance
  • Transport insurance
  • National and international insurance programmes in the fields of general liability, product liability, recall cost and anti-counterfeiting insurance

And another issue: Climate-related natural disasters and the continuing climate change cause ever more frequent and severe damage to crops. We analyse the respective risk parameters, assess potential risks of failure, and on this basis, offer coverage concepts that protect you in the long term.

Tales from the world of a Global Broker

The Bromo volcano on the Indonesian island of Java at sunrise | A volcanic eruption on Java: How could NW Assekuranz help its client, a local tobacco producer?

Plumes of smoke:
a volcano in Java erupts

When the volcano Raung on the Indonesian island Java erupted on 9 July 2015, a local tobacco producer had a huge problem: The ash fall destroyed the majority of the year's crop of high-quality wrapper leaves.

Unfortunately, this problem was followed by another one. The insurer rejected the claim and did not accept part of it until much later within the framework of a settlement. Our task: We needed to procure new coverage as quickly as possible while having a large claim on our hands. Because to finance the new seed to be sowed, proof of complete insurance coverage was required.

Before we could present the risk of insuring delicate tobacco leaves already on the fields to potentially interested specialised insurers, we collected extensive data. Based on a thorough analysis of the history of Raung, we found that an eruption of this magnitude is a rarity. Furthermore, we compiled polar plots with seasonal weather data – and we found out that the wind that had carried the ash to our client's field usually blew in an entirely different direction during the rather short period of growth of the tobacco plants (eight weeks). Both factors, the eruption probability and the wind direction, significantly reduced the probability of occurrence.

With this calculation, we were able to convince a major insurer to underwrite the remaining risk at a price that our client could afford.

Do you have questions, or would you like to get a personal quote?

We are at your disposal by phone at +49 (0)421 9896070. Or you can send us a message and we will get back to you as quickly as possible.