To help farmers recoup their investments from crop loss as a result of extreme weather, the Philippine Crop Insurance Corporation (PCIC) is piloting a Weather Index -Based Crop Insurance (WIBCI) system in Iloilo, and Cagayan Valley, the Department of Agriculture said Tuesday.
Established by the World Bank, the WIBCI is the latest type of crop insurance that automatically settles claims in tandem with certain weather conditions that forms part of the index and is adapted by the Philippines as part of economic measures related to the climate change.
As such the WIBCI requires no field inspection or reports to verify claims in the aftermath of extremely bad weather – say, too much rain or lack of it – before farmers get paid, unlike traditional crop insurance, the Department of Agriculture said in a statement Tuesday.
“We are now in the implementation state of this new insurance package which was designed and developed since 2012, and we will expand beginning 2015,” Norman Cajucom, acting PCIC senior vice president, said in the statement, noting the WIBCI will allow farmers to stay productive despite adverse weather conditions.
The pilot locations are Tuguegarao and Penablanca in Cagayan Valley and Dumangas in Iloilo.
To ensure transparency and fairness in the system, farmer and stakeholders access weather bureau reports.
Implementing the WIBCI system is a joint venture of the Department of Agriculture, PCIC, Department of Environment and Natural Resources, Department of Science and Technology, National Irrigation Administration, Philippine Rice Research Institute, WB, and Climate Change Commission Philippines.
As weather-based insurance system, the WIBCI does not cover damages from plant pests and diseases. – VS, GMA News