The House of Representatives has approved a measure seeking to strengthen and expand the country’s agricultural insurance system to provide Filipino farmers and fisherfolk with greater protection against typhoons, floods, droughts, diseases, and other threats to their livelihoods.
House Speaker Faustino G. Dy III, one of the authors of House Bill (HB) 10365, underscored on Sunday the importance of the measure, noting that a single calamity can wipe out not only a farmer’s harvest but also months of investment and the resources needed to resume production.
‘When a farmer is hit by a typhoon or flood, it is not only the crops that are lost. Their capital, their family’s income, and their ability to plant again are also put at risk,’ Dy said.
‘We need an insurance system that helps our farmers get back on their feet instead of forcing them deeper into debt. This measure will ensure that the people who feed our nation have something to fall back on when disaster strikes.’
HB 10365, which was approved on third and final reading last Wednesday with 201 affirmative votes, no negative votes, and no abstentions, seeks to strengthen the Philippine Crop Insurance Corp. (PCIC) by expanding its services and the agricultural activities eligible for insurance coverage.
‘Agriculture has changed significantly, along with the risks faced by our farmers and fisherfolk. Our agricultural insurance system must keep pace with those realities,’ said Dy, who served three terms as governor of Isabela, one of the country’s major food-producing provinces.
‘For a farmer, one typhoon can mean losing the crop, the money spent on seeds and fertilizer, months of labor, and the income the family was counting on. Without adequate protection, one disaster can become years of debt.’
Under the bill, PCIC insurance coverage would extend beyond traditional palay and corn crops to include high-value crops, livestock, aquaculture and fishery products, agroforestry crops, and forest plantations.
Coverage may also include agricultural machinery, equipment, transport facilities, and related infrastructure, as well as life and accident term insurance for farmers and fisherfolk.
The measure further provides that agricultural insurance should, as far as practicable, cover production inputs, the market value of labor provided by farmers or fisherfolk, their household members and hired workers, as well as a portion of the expected yield.
The PCIC would also be authorized to offer parametric or index-based insurance and other innovative insurance products.
HB 10365 would allow the PCIC to enter into public-private partnerships, joint ventures, and similar arrangements with agricultural cooperatives, farmers’ associations, and other private-sector participants.
It also retains government premium subsidies for qualified subsistence farmers cultivating no more than three hectares, subject to periodic review, while requiring that any premium share they pay remain reasonably affordable.
Dy said the expanded insurance protection would help farmers and fisherfolk recover more quickly and return to production, strengthening both family livelihoods and the country’s food security.
The Speaker said insurance is not merely compensation for losses.
‘Insurance is not simply compensation after a loss. It can mean having the resources to plant again, repair equipment, restore a livelihood, and continue producing food for our communities,’ he said.
‘When our farmers and fisherfolk are protected, they can recover more quickly. And when they recover more quickly, our country’s food production also becomes more resilient.’