According to insurance brokers, the largest number of claims is for insurance contracts for cherry orchards. Last week’s and this week’s frosts occurred during their flowering period. Apricot and peach orchards suffered to a lesser extent – the most vulnerable period of their vegetation was a little earlier. Besides, the situation with table grapes plantations is under great question. If frosts last until the end of the week (their peak is expected on the night from Thursday to Friday), they too can be seriously affected. At least one of the insurance companies has signed contracts to insure more than a thousand hectares of vineyards against spring frosts.
Insurers note that in some contracts spring frosts are classified as a catastrophic risk. Accordingly, only about 40% of the sum insured will be reimbursed.
In addition to perennial crops, April frosts could damage winter rape and sugar beet crops, which, with very few exceptions, were not insured against this risk.
And the biggest problem is with subsidized agricultural risk contracts entered into this year. AIPA’s Agricultural Intervention and Payment Agency staff forecasts that subsidies will at best begin to flow in May.
