Aon Quartely Magazine

How crop insurance works:
There are two approaches to crop
insurance;
1. The insurance company agreeing
with the farmer on the expected
crop yield per acre for the crop
being insured. The amount to
be insured will depend on the
average crop yield in the area
concerned. If at harvest time, the
farmer gets less than an agreed
percentage of the agreed yield,
the insurance company pays
for the difference. This way the
farmer is assured of some return
even when there is crop failure;
2. The insurance company insures
the farmer against any damage
that may arise out of specific
perils e.g. drought, floods,
disease, fire etc. The farmer
must report such damage to the
insurance company which will
then proceed to assess the extent
of loss and arrange to pay the
farmer accordingly.
The Aon crop insurance provides
cover to the insured standing crop,
and crops from field to floor against;
3. Loss or damage to growing
crop or crop being harvested
caused by Drought, Hail, Fire,
Windstorm, Excessive rain and
Damage by uncontrollable pests
and diseases.
4. Loss or damage to Crop in
storage due to, Fire, Lightning,
Explosion and Special perils
5. Loss or damage during transit to
Market against all risks.
6. Loss due to downgrading of
quality as a result of defined perils
which is always subject to terms
and conditions outlined in the
insurance policy.
Don’t Guess - Know
You should know what
your policy does and -
more importantly - does
not cover. Come to Aon
Kenya for all your insurance
needs.