Crops in Zemgale have suffered the most in recent years – €11 million paid out in insurance claims

Over the last four years, farmers have received more than €20.5 million in crop insurance claims, according to data from AAS BTA Baltic Insurance Company (hereinafter – BTA). The highest amount of insurance compensation has been paid to farmers for damaged crops in Zemgale – €11 million. According to Ivo Danče, Director of the Insurance Claims Department at BTA, crops in Zemgale and Kurzeme were most damaged by hail and storms, with crops lodged, while in Latgale and Vidzeme, crops were more often damaged by frost. In recent years, the largest insurance claim – €388,667 – was paid for hail-damaged wheat crops covering an area of 830 hectares in the Dobele region. 

Natural disasters are becoming more unpredictable – crops in Zemgale suffer the most 

The 2024 report of the Latvian Environment, Geology and Meteorology Center on current and future climate change in the country shows that precipitation is increasing in Latvia, and this trend is predicted to continue until 2100. Snow cover has already decreased in winter, and forecasts indicate that this trend will continue in the coming years. 

Overall, the report concludes that the extreme weather conditions currently experienced sporadically will become the norm in the future, causing even greater damage. This is also confirmed by calculations from the European Climate Agency – since 2015, losses to national economies caused by natural disasters have increased across the European Union, including Latvia. 

"In our experience, the largest insurance claims to date have been for damage to various crops caused by weather conditions, such as frost, hail, heavy rain, and strong winds, which have flattened crops in the fields. The largest compensation payments have been made for damage to crops in the Zemgale region, for example, €373,482 was paid for weather damage to rapeseed. There have been other significant insurance claims in the region – €238,665 in compensation for damage caused by storms and hail to wheat fields, while more than €160,000 was paid out in claims for crops knocked down by wind. More than €100,000 was paid to a farm in Zemgale, where winter crops were destroyed," says Ivo Danče, Director of the BTA Insurance Claims Department. 

Hail, storms, frost and heavy rain also damage crops in Latgale, Vidzeme and Kurzeme 

BTA data for the last four years reveals that in Kurzeme, the greatest damage to crops was caused by hail, which affected bean, rapeseed and pea crops - €141,022 was paid to a farm for bean crops damaged by hail, while €114,134 was paid for damage to rapeseed crops, where approximately 40% of the crop area was affected, and €95,704 for pea fields damaged by hail. 

In Vidzeme, damage to crops was most often caused by heavy rain, wind and hail. Rapeseed and wheat fields suffered from adverse weather conditions. BTA paid out €109,888 in insurance claims for damaged rapeseed fields, €94,228 for damaged winter wheat and rapeseed, and €88,420 for hail damage to rapeseed crops. 

Several cases related to crop freezing in winter and excessive moisture were registered in Latgale – €136,950 was paid out in compensation for damaged wheat and, in two cases, for frozen rapeseed fields – €116,978 and €88,475 respectively. 

“The risks posed by climate change are currently the most unpredictable – they will continue to have a significant impact on yields and the farming business in the future. During the winter period, one of the greatest risks to crops is frost, as they are less protected from the effects of cold weather when the snow cover decreases. If crops are not insured in time, which this year is possible until November 25, there is a high probability that winter crops will not survive and farmers will have to cover the losses from their own funds," explains I. Danče. 

It is virtually impossible to protect crops from natural disasters 

While the most demanding plants in a home garden can be covered for the winter to protect them from freezing, it is almost impossible to protect crops in large fields from the effects of natural disasters. Jānis Marčenkovs, agronomist at the agricultural farm “Sējas”, also emphasizes that relying on luck means accepting all the financial consequences if disaster strikes the crops. 

“Although there are a number of technologies available today to help with this, it is still difficult to predict the weather – forecasts may or may not come true. When crops are hit by hail, heavy rain or frost, it only takes a few minutes or hours to destroy the harvest and all the hard work of farmers to result in significant losses. Therefore, insurance is basically the only way to help farmers maintain financial stability in such situations," explains J. Marčenkovs. 

He also points out that when faced with natural disasters, speed of response is very important – damage must be recorded immediately so that losses can be assessed as quickly as possible, support can be obtained, and work can continue.