Novel insurance scheme launched for coconut growers

Ceylinco Insurance PLC, Coconut Growers Association and Coconut Cultivation Board officials at the press conference that announced the new insurance scheme for coconut plantations
Pic by Pradeep Pathirana 

• Initial premium to be Rs.60 per tree; compensation in excess of Rs.1000 to be paid 
• 70mn coconut trees grown in 1.1mn acres in Sri Lanka; only 40mn tress high yielding

By Yohan Perera
Ceylinco Insurance PLC together with the Coconut Growers Association of Sri Lanka and Coconut Cultivation Board (CCB) has launched a novel insurance scheme to cover coconut plantations.

Ceylinco Insurance Deputy General Manager Deshapriya Wickramarathne told a press conference that the new scheme of insurance has been designed in line with the policy of the company to move away from traditional insurance schemes.

Ceylinco Insurance Senior Manager Corporate Accounts Leonard Solomon said coconut trees would be covered against disasters such as cyclones, droughts, pests, animals such as monkeys and diseases, 
under this new scheme. 

“The owner of a coconut land will have to pay an initial premium of Rs.60 per tree, depending on its age. The annual premium will increase as the trees get older. Compensation in excess of Rs.1000 will be paid in the event trees are destroyed. The cost that has to be incurred to replant a new tree will be more than Rs.1000 and the policy covers this cost,” he said.

“We intend to implement this scheme islandwide,” he added.  
Coconut Growers Association of Sri Lanka President Jayantha Samarakoon said the new scheme would be a great boost to the coconut planters 
and the industrialists. 

“Coconut is grown in 1.1 million acres in Sri Lanka while there are 70 million tress in the country in total. However, only 40 million tress give a high yield. One of the major issues faced by the landowners is maintaining the under plantation. It is difficult to maintain the new plants for various reasons. This new scheme will help us solve this problem,” he said.

The scheme will be initially available to the members of the Coconut Growers Association but those who join the association can enter the insurance scheme, according 
to Samarakoon.