Southern Germany, Austria, and the Czech Republic have been dealing for several weeks with the effects of recent rainfall and flooding. Especially in the Bavarian region, agricultural businesses have been severely affected by high water levels. The economic impact is significant, with estimated losses running into the millions of euros.
In Austria and the Czech Republic, the situation is similar. Farmers in these countries face waterlogging that renders their fields unusable and destroys crops. The consequences are particularly severe for small and medium-sized enterprises that have fewer buffers against such losses. Local authorities and farmers' organizations are working together to provide emergency aid and financial support to the affected farmers.
In Denmark, farmers have taken out widespread bad weather insurance over the past year. One of the largest insurance companies reported that the number of bad weather policies taken out in 2023 increased by 30%. Whereas until recently five percent of agricultural clients insured their crops against a failed harvest, this figure has risen to 18 percent.
The Danish agricultural sector has in recent years faced weather extremes causing considerable crop damage. Insurers have responded by offering specific policies tailored to the unique risks faced by the agriculture sector.
The Danish Farmers' Organization Landbrug & Fødevarer has emphasized the importance of these insurances. The organization collaborates with insurers to ensure that farmers have access to affordable and effective insurance options.