China introduces new agri insurance subsidies

January 27 2017 by InsuranceAsia News Staff

China has introduced new measures that will better evaluate performance of its agricultural insurance subsidies, the Ministry of Finance said Thursday.

The new guidelines, which also seek to clarify how the insurance subsidies are issued and what agencies are involved, were released to improve the efficiency of a programme aimed at supporting China’s huge farming sector.

China spent Rmb15.8 billion (US$2.3 billion) on subsidies for farm insurance in 2016, up 7.5% from 2015.

China, the world’s second-largest agricultural insurance market, has heavily promoted agricultural insurance in the past decade to mitigate greater risks.

In a statement on its website, the finance ministry said the introduction of the measure is of great significant to perfect the agricultural insurance system and promote the sustained and healthy development of agricultural insurance.

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