Appropriate risk management tools for agriculture will be a key challenge for agricultural development in the future. One of these - crop insurance systems - has been successfully implemented in the last decades, mostly however in industrialised countries. Only systems based on a public-private partnership have proved to be successful and sustainable. However, purely private or purely government organised systems have failed. This article outlines the reasons why crop insurance systems based on public-private partnership will lead the future development in developing countries and emerging markets, too.
Dr. Joachim Herbold
Munich Reinsurance Company