Description

A health insurance scheme pays the insured all or part of the cost of treatment for illness (outpatient or inpatient), childbirth and, in some cases, after an accident. Thereby it prevents existential crises on farms.

A statutory (agricultural) health insurance is financed from the insured parties’ regular premiums. The amount of the premiums depends on the type of member-ship and the members’ economic capacity. Membership can be mandatory or voluntary.

A statutory agricultural health insurance scheme provides compulsory insurance for full-time farmers and their family members, etc. In line with the principle of solidarity-based financing, the premiums depend on the members’ economic capacity (economic value, labour requirements or another appropriate yardstick, such as land value).

Requirements

• (Emerging) Insurance industry
• A properly functioning country-wide administration and monitoring system with access to the relevant information and sufficient technical and human capacities for its design, implementation and monitoring
• Close cooperation and knowledge sharing with farmers' organisations
• High proportion of the working population formally employed
• Open-access to all farms, regardless of size and location
• Regulatory framework
• Skilled / specialised personnel to man the respective institutions / provide the respective services

Possible Negative Effects

• Premiums set at a level that is unaffordable for the insured
• The provision does not meet the needs of
• the population
• Provision cannot be guaranteed due to a lack of access to medical resources