Agricultural Insurance is a policy which involves the insured (farmer) paying a little sum (premium), usually in percentage to an insurance company (insurer) to guarantee against loss due to any of the perils (death, flood, drought etc.) covered for a particular period of time (usually not more than one year) with a promise to indemnify (pay back the value of loss) should such occur
Is purchased by farmers who rear animals to protect themselves against the loss of their animals such as fish, birds and livestock due to disease outbreaks, accidents and natural disasters, such as hail, drought, and floods.
Is purchased by agricultural producers, including farmers, ranchers, and others to protect themselves against either the loss of their crops due to natural disasters, such as hail, drought, and floods, or the loss of revenue due to declines in the prices of agricultural commodities. The two general categories of crop insurance are called crop-yield insurance and crop-revenue insurance.
Is purchased by farmers and agro allied businesses involved in processing and packaging agricultural produce. This insurance safeguards equipment and properties used in agriculture and farming.