A new state program to support farmers — agroinsurance — is launching in Ukraine. It is being initiated by the Ministry of Economy, Environment and Agriculture of Ukraine in response to the growth of climate risks and military challenges that have significantly affected agriculture in recent years.

The department notes that frequent droughts, late spring frosts and sharp temperature fluctuations are increasingly leading to crop losses. According to Deputy Minister Taras Vysotsky, the new program is aimed at protecting producers from weather force majeure and ensuring the stability of agricultural production. On the air of the “United News” telethon, he emphasized that weather risks can cause both partial and complete crop loss, so agroinsurance should become a tool of confidence for farmers.

Due to the high probability of insured events, insurance in the agricultural sector remains expensive. That is why the state will compensate part of the insurance premium paid by agricultural producers. For farms located in frontline areas, 60% of the policy value is reimbursed. For farmers in other controlled areas, the compensation will be 45%.

The program will primarily cover weather risks. These include the formation of ice crust and freezing of winter crops, the need for reseeding, late spring frosts, drought, excessive precipitation and other climatic factors that can lead to crop loss.

Special attention has been paid to the selection of insurance companies. Three insurers have currently been admitted to the program, which meet strict reliability criteria and have a proven track record of successful insurance payments. An indispensable condition is an impeccable business reputation, which actually guarantees farmers the receipt of funds in the event of an insured event.

The mechanism for receiving compensation consists of several stages. First, the farmer chooses one of the authorized companies and concludes an insurance contract. After paying the insurance premium, he submits supporting documents to the insurance company, which transfers them to the ministry. After that, the Ministry of Economy transfers the compensation directly to the agricultural producer's account.

Documents will be accepted three times a year - by April 10, August 10 and November 20. Payments will be made within a month after the completion of each stage of accepting applications. The schedule is formed taking into account the seasonality of concluding contracts and growing seasons.

The State Budget for 2026 for the first time provides for UAH 60 million for partial compensation of insurance premiums. Thus, the government expects to create a systemic mechanism to protect farmers from climate risks and promote the stability of agricultural production in conditions of increased uncertainty.