The Cabinet of Ministers of Ukraine approved the maximum insurance rates for future sugar beet harvests, as well as determined the procedure for their application. The relevant resolution №1228 already published on the Government portal.
According to the document, the conditions for providing state support for insurance of agricultural products are provided, and the mechanism for using funds from the state budget under the “Financial Support of Agricultural Producers” program is defined. The marginal tariff for each oblast is set separately — taking into account yield, average indicators for 2019-2023 and the level of insurance coverage. Thus, the tariff will be 7.3% in Vinnytsia, Kirovohrad, and Cherkasy regions, 6.8% in Rivne, and 6.1% in Ternopil, Kharkiv, Khmelnytsky, and Chernivtsi regions. The minimum tariff — 5.1% — is set for the Volyn, Ivano-Frankivsk, and Lviv regions.
For the calculation of the insurance tariff, it is provided that the structure of the gross rate will consist of a net rate, which takes into account the risk accepted for insurance, and the load, which covers the costs of the insurer for the conclusion and maintenance of contracts. At the same time, the insurer’s costs for concluding and executing the contract cannot exceed 30% of the tariff. The size of the tariff itself is agreed between the insurer and the insured, but it should not exceed the established limits.
The price of a crop unit for calculating the insurance amount will be determined by agreement between the insurer and the insured, but cannot exceed the sales price of the products for the IV quarter of the previous year. If the insured did not make sales during this period, the average sales price for the district or community is taken.
