Climate change: why agricultural insurance is a necessity

Do you have agricultural insurance? Climate change is making this type of insurance more important than ever before. The ability to adapt and invest in the right equipment can help farmers survive these changes. You can find durable equipment for sale on AgriMag today.

Effects of climate change

Climate change has far-reaching consequences for farmers. The agricultural sector is facing temperature and rainfall fluctuations, which puts the production of crops at risk. There have also been changes to the movements of birds and insects, which affects crop production.

● Changes in temperatures
Rising temperatures have had a bigger effect on the interior regions of the country, where heatwaves have resulted in damaged crops and decreased yields. These heatwaves threaten the lives of livestock, and the wellbeing of farmworkers is at risk during heatwaves as they face dehydration, sunburn, and extreme fatigue. Productivity levels decrease during these periods.

● Changes in rainfall
Changing rainfall patterns increase the risk of drought. South Africa has a lower annual rainfall than the global rate and changing rainfall patterns are further reducing the availability of water. Floods also cause damage to crops. Shifting rainfall seasons present a challenge to farmers as rain comes at the incorrect times for traditional planting patterns.

● Higher risk from pests and invasive alien vegetation
Climate change puts crops at risk from plagues and pests. The changing climate can create opportunities for these to negatively influence crops. Disrupted environments are also at a higher risk of invasion by alien vegetation. Many of the problematic alien plants in South Africa thrive in warmer climates so the rising temperatures create the ideal environment for them to spread.

Agricultural insurance

The abovementioned effects of climate change make insurance essential. Farmers rely on environmental conditions, which means that climate change can have a severe impact on their productivity. In cases where risk can’t be managed, changing environmental conditions can make it difficult for their business to survive. In an effort to save their businesses some farmers make uncertain investments. Agricultural insurance provides an incentive for farmers to make more lucrative investments while also boosting their creditworthiness. There is a need for agricultural insurance and financial services to be made more accessible to small commercial farmers.

Risk management

Agricultural producers will need to be able to adapt in order to farm under these changing conditions. The types of crops farmed in each region need to be adjusted to accommodate changing environmental conditions. Diversifying production is another strategy that is used to cope with the effects of climate change. Diversifying increases resiliency in the agricultural sector. Technology and equipment can also help farmers to cope with the changes.

With the increasing risk associated with climate change, it’s easy to see why agricultural insurance is so important. Investing in the right equipment is another important aspect of surviving the unstable environmental conditions. Find equipment for sale on AgriMag and enjoy great savings.