Sri Lanka's Agricultural and Agrarian Insurance Board has introduced a new insurance programme designed to shield fruit farmers from cultivation-related risks, covering losses from natural disasters, pests, diseases, and wildlife damage.
The Agricultural and Agrarian Insurance Board, operating under the Ministry of Agriculture, Livestock, Lands and Irrigation, has rolled out a new insurance initiative aimed at providing financial protection to fruit farmers across the country. The scheme targets cultivators of Department of Agriculture-recommended fruit crops, including pineapple, papaya, and banana varieties.
Farmers participating in the programme are required to pay a premium set at 7% of the basic insured amount to secure coverage. The insurance protects against a broad range of agricultural challenges, including losses stemming from natural disasters, crop diseases, pest and insect infestations, as well as damage caused by wild elephants—a significant concern in certain agricultural regions.
According to the Agricultural and Agrarian Insurance Board, eligible farmers will receive compensation between Rs. 300,000 and Rs. 400,000 per acre in the event of qualifying crop damage. The Board has stated that the primary objective of introducing this scheme is to enable farmers to better manage agricultural risks while encouraging sustained engagement in fruit farming activities, which form an important segment of Sri Lanka's agricultural sector.