AGRICULTURAL INSURANCE AS POSSIBLE COMPULSORY INSURANCE IN SERBIA

Agricultural insurance should have the same position in Serbia as in contemporary market economy. Modern, market-oriented agriculture is inconceivable without well organised and developed insurance. The developement of agricultural insurance in domestic conditions should involve a more active role of the government. The role of the government could also be reflected in the introduction of partly compulsory agricultural insurance and the provision of funds from the agrarian budget for higher insurance premium subsidies. At the same time, insurance companies should have a key role in domestic market of agricultural insurance by developing both offer and demand, as well as in informing and educating farmers on the importance of economic protection of their production. The aim of the paper is to present the need for the introduction of partly compulsory agricultural insurance in Serbia. The suggested model of partly compulsory agricultural insurance is based on a public-private partnership, and its implementation would not only enable the development of agricultural insurance, but would ensure funds necessary for current and investment financing of this significant economic activity.

Key words: compulsory insurance, agricultural insurance, agriculture funding, Serbia