Funding cuts reduce area covered by rural insurance to 2% by 2025

The National Confederation of Insurers (CNseg) revised the projections for the insurance sector and confirmed a drop in rural insurance operations by 2025. According to the entity's president, Dyogo Oliveira, the contraction is a direct consequence of the reduction in public resources allocated to the Rural Insurance Subsidy Program (PSR). According to the balance sheet released by CNseg, the rural sector collected R$ 8.7 billion until August, which represents a 6.7% drop compared to the same period in 2024. The updated projection for the end of 2025 indicates a 2.7% contraction in the total volume collected with the modality. The entity points out that the budget for the program fell from around R$ 1 billion in 2024 to less than R$ 500 million this year. The result, according to the sector, is the lowest level of coverage ever recorded: the rate fell to 2.3% of the planted area, the lowest since the beginning of the historical series in 2006. "We already had more than 16% of the ...