Hog raisers cool to DA insurance program | Inquirer Business
SLOW CLAIMS PROCESSING

Hog raisers cool to DA insurance program

/ 05:12 AM February 25, 2021

Hog raiser groups raised doubts that the government will be able to realize its plan to give commercial hog raisers a 50-percent insurance subsidy, noting the slow pace of claiming indemnity fees.

Edwin Chen, president of the Pork Producers Federation of the Philippines, likened the claims process of the Philippine Crop Insurance Corp. (PCIC) to “a camel going through the eye of the needle,” which is why most hog farmers do not even bother taking out insurance.

Based on data from PCIC, only about 300,000 livestock raisers were covered by the insurer last year, with most of its indemnity checks going to rice farmers.

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The program to extend an insurance subsidy to hog raisers was announced by Agriculture Secretary William Dar in a Senate hearing earlier this week. Agriculture spokesperson Noel Reyes confirmed to the Inquirer on Wednesday that PCIC, which will implement the program, was finalizing its approval.

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The insurance subsidy is to be funded by the Department of Agriculture’s (DA) quick response fund to the tune of P740 million.

The DA has yet to finalize the details of the subsidy program, but based on PCIC’s current operations, backyard farmers registered in the agency’s registry may avail themselves of free insurance for only 10 pigs.

Those who will exceed the limit must pay a premium of P225 per head.

Samahang Industriya ng Agrikultura chair Rosendo So said the funding for the insurance subsidy was too little and may not be much help to hog raisers, 60 percent of whom are backyard raisers.

“They should come up with the policy mechanics first,” said Chester Warren Tan, president of the National Federation of Hog Farmers Inc.

Chen said the DA must focus its efforts on fixing structural problems instead, including the resistance of several LGUs to allow African swine fever (ASF)-free hog trucks to pass through, making the transportation of pork supplies “very hard and expensive.”

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This practice has persisted despite the DA’s ASF zoning map, a supposed guide for all stakeholders in the shipment, sale and production of hogs.

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TAGS: Hog raisers, Insurance

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