Almost 92% of farmers in Tunisia do not underwrite insurance coverage against agricultural risks. The remaining minority, less than 8%, are only insured against hail. There are several reasons for this situation, such as the fact that this type of coverage is not compulsory, the lack of interest on the part of farmers, and the high rates proposed by insurers.
These observations were reported by Hassene Feki, President of the Tunisian Federation of Insurance Companies (FTUSA), at the AIO's 27th African Reinsurance Forum, taking place in Tunis from 30 September to 4 October 2023.
The FTUSA President believes that the public authorities could adopt a series of solutions to boost the country's reinsurance industry.
These include the creation of a natural disaster fund, the establishment of State subsidy systems and damage compensation mechanisms for the uninsured.
In addition to these suggestions, the expert also called for improved financing of the public fund for compensation of agricultural losses, which already exists in Tunisia.
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