MUMBAI: State-run United India Insurance has requested the Agriculture Insurance Company (AIC) to allow it to sell crop and weather insurance products in the western region, which is currently reeling under severe drought.
“We have requested to allow us to sell weather and crop insurance products in the western region, especially in Maharashtra where we are not hawking these products. Currently we are selling these products in the South,” United India Insurance Chairman and Managing Director Milind Kharat said.
Currently the western region, the agriculturally prosperous Maharashtra in particular, is facing severe drought with major loss in horticulture crops like sweet lime, grape and mango.
The four state-run general insurers at present sell the products of AIC, which offers yield-based and weather-based crop insurance programmes under the National Agricultural Insurance scheme and the weather based insurance scheme.
As Maharashtra is one of the biggest markets in the crop and weather insurance space, most general insurers are trying to have a footprint in this market.
Crop and weather insurance is one of the growth spots for the domestic general insurance industry with nearly 25 per cent growth per annum. Private players like ICICI Lombard and HDFC Ergo are also active in the category.