Peru: Catastrophic Agricultural Insurance (Ministerial Resolution No. 0271-2021-MIDAGRI )

The SAC is an insurance covered 100% by the State, to serve the poorest and most vulnerable farmers in the country, whose purpose is to support them to reintegrate into agricultural activity and compensate for the damages generated by natural events and those associated with climate change. The insurance compensates the producer with 800 soles per hectare, proportional to its insured area, through the opening of savings accounts, within the following 15 days, counted from the date of approval of the registry of beneficiaries by the Regional Directorate of Agriculture. The SAC covers the effects caused by natural phenomena, such as drought, hail, snow, excessive or untimely rain, high temperatures, landslides, strong winds. It also considers the effects of fires, pests and predators, flooding, diseases, lack of land to harvest, volcanic eruption, earthquake, frost, drought, environmental pollution, among others.