Olga Ponomarenko

Agricultural insurance in Ukraine remains underdeveloped, characterized by fragmented progress and significant reliance on state support, necessitating a systematic, research-based approach for its advancement. The study evaluates the sector’s development from 2014 to 2023, employing general scientific methods of cognition. Abstract and logical methods were applied to summarize results and formulate conclusions, while comparative analysis facilitated the assessment of key trends. Graphical techniques were employed to enhance the visualization of data obtained. A monographic approach was adopted to conduct an in-depth analysis of parametric insurance, complemented by a critical review of the legal framework to evaluate its influence on the sector’s development.
The study reveals the limited scale of agricultural insurance relative to the agro-industrial sector’s growth, with only 3% of agricultural areas insured and agricultural insurance comprising 2% of insurers’ portfolios. The average claims payout rate is 50%, with reinsurance levels at 60%. The sector’s insurance products are categorized into two main types: classical and parametric. Parametric, index-based insurance demonstrates superior efficiency, achieving a claims ratio of 35% compared to 14% for classical models.
External challenges, including the COVID-19 pandemic, regulatory changes, and Russia’s military aggression, have further impeded the sector’s progress. Despite these obstacles, the study identifies promising pathways for development. These include fostering social responsibility among stakeholders, integrating digital technologies, and implementing innovative approaches to insurance practices.
The study underscores the necessity to address systemic inefficiencies, adopt tailored strategies, and align insurance practices with Ukraine’s agro-industrial sector’s unique needs to enhance resilience and promote sustainable development.