Lampung Provincial Government (Pemprov) stated that in 2023 in its area there have been 29,342 hectares of rice fields owned by farmers registered in rice farming (AUTP) business insurance. "This rice farming business insurance is a government program to protect farming businesses, from various risks such as crop failure caused by climate change such as floods, drought, pest attacks, plant disruption organisms that cause farmers' business losses," said Head of Infrastructure and Agriculture Facilities of the Food Security Service, Food Crops and Horticulture of Lampung Province, Tubagus M. Rifki, quoted from ANTARA, Wednesday, March 6. He said, in 2023 the area of farmers' rice fields in Lampung Province that had participated in rice farming business insurance was 29,342 hectares. "In 2023, the target for farmers' rice fields protected by AUTP is around 30 thousand hectares, and the realization is already 90 percent or about 29,342 hectares of farm rice fields have been protected by this rice farming business insurance," he said.

He continued, the amount of insurance input for rice farming businesses is IDR 6 million per hectare per season where the insurance premium value is IDR 180 thousand per hectare per season.

From the premium value of the insurance, the central government has subsidized 80 percent or Rp. 144,000 per hectare per season and another 20 percent of farmers have to pay their premium independently but specifically in Lampung the local government provides full premium payments.

"The premium of 20 percent or Rp. 36,000 per hectare is paid by the local government because the Governor of Lampung is already committed to improving agriculture and the welfare of farmers," he said.

According to him, in 2024 the target of rice fields that can be protected is similar to the previous year's rice farming insurance, which was 30 thousand hectares.

"This AUTP has proven very useful, as last time there was a flood in Mesuji and farmers could claim and what was paid was Rp12 billion to overcome crop failure due to the flood," he added.

He explained that the claim policy would be obtained if the damage intensity reached 75 percent based on the area of the rice planting plot. And compensation payments will be made no later than 14 days after the minutes of the damage examination are carried out. "Actually, the participation of farmers in this AUTP can reduce the risk of loss due to crop failure, especially since the insurance premium gets a subsidy of 80 percent from the central government and 20 percent from the local government. The hope is that farmers can take advantage of this well," he said.


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