III END - Encontro Nacional de Desastres da ABRHidro

Data: 06/03/2023 à 09/03/2023
Local: Niterói-RJ
ISSN: 2764-9040
Mais informações: https://www.abrhidro.org.br/iiiend

LONG TERM CONSEQUENCES OF CLIMATE SHOCKS ON CROP INSURANCE IN BRAZIL

Código

III-END0144

Autores

Marcos Roberto Benso, Roberto Fray da Silva, Gabriela Gesualdo, Alexandre Cláudio Botazzo Delbem, Antonio Mauro Saraiva, Eduardo Mário Mendiondo

Tema

08. Gestão de Risco de Desastres

Resumo

In the last decades, severe droughts have affected large areas in Brazil. The objective of this paper is to analyze the impact of extreme drought events on crop insurance availbility. We applied insurance panel data for all Brazilian territory provided by the Insurance Premium Subsidy Program (PSR) for Soybean and Maiz first and second cycles from 2009 to 2021. We consider the following metrics of insurance availability: total premiums per hectare, liability per hectare, subsidy level, and total insured area. We found that risk premiums increased for all crops for 2015/2015 and 2019/2021. However, only the soybean-insured area was reduced in 2015. For the other cases, the crop-insured area remained constant after mega-droughts. This was explained by geographical risk pooling and increased governmental subsidies.

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