Crop Insurance Market Report 2026

The crop insurance market size has grown strongly in recent years. It will grow from $46.87 billion in 2025 to $51.05 billion in 2026 at a compound annual growth rate (CAGR) of 8.9%. The growth in the historic period can be attributed to increasing climate variability impacts on agriculture, expansion of government-backed insurance programs, rising awareness of farm income protection, growth of commercial farming activities, increasing penetration of formal insurance in rural areas.

The crop insurance market size is expected to see strong growth in the next few years. It will grow to $71.84 billion in 2030 at a compound annual growth rate (CAGR) of 8.9%. The growth in the forecast period can be attributed to increasing adoption of data-driven underwriting models, rising focus on climate-resilient insurance products, expansion of digital distribution channels, growing integration of agri-tech data platforms, increasing demand for customized crop insurance solutions. Major trends in the forecast period include increasing adoption of weather-based insurance products, rising use of satellite and remote sensing data, growing digitization of claims processing, expansion of parametric crop insurance models, enhanced focus on yield risk mitigation.

The rising frequency of adverse weather events is anticipated to drive the growth of the crop insurance market in the coming years. Adverse weather encompasses dangerous conditions such as hurricanes, floods, blizzards, disease outbreaks, wildfires, and extreme temperatures, whether hot or cold. Crop insurance helps mitigate the financial burden on farmers by providing protection against potential losses resulting from unfavorable weather conditions like rainfall, temperature fluctuations, frost, and humidity. For example, in January 2024, according to the National Oceanic and Atmospheric Administration (NOAA), a US-based federal scientific agency, the United States experienced 28 weather and climate disasters in 2023, each causing damages of at least 1 billion dollars, up from 18 such disasters in 2022. Hence, the increasing occurrence of adverse weather conditions is expected to boost the crop insurance market.

Major companies operating in the crop insurance market are prioritizing technological innovations, such as remote sensing‑enabled yield estimation systems, to address the growing need for more accurate, transparent, and timely risk evaluation and claim processing amid increasing climate variability and farmers’ demand for data‑driven coverage. A remote sensing‑enabled yield estimation system utilizes satellite imagery, geospatial information, and algorithmic models to estimate crop yields and evaluate losses at a detailed level throughout the season, offering significant improvements over traditional area‑based or manual crop cutting experiment methods, which can be slower, less precise, and more labor-intensive. By integrating real-time environmental data and automated analytics, these systems facilitate quicker, evidence-based insurance decisions and minimize disputes over payouts. For example, in July 2023, the Ministry of Agriculture & Farmers Welfare, an India-based government department, introduced the YES‑TECH (Yield Estimation System Based on Technology) initiative under the Pradhan Mantri Fasal Bima Yojana. This technology-driven yield estimation system combines remote sensing with established methodologies to progressively transition toward remote sensing-based crop yield estimation, incorporating mandatory weightage for satellite-derived yield data. It supports multiple crops, including paddy, wheat, and soybean, enhances yield assessment accuracy, reduces reliance on manual sampling, and improves transparency and efficiency in loss calculations for crop insurance stakeholders.

In July 2023, American Financial Group (AFG) Inc., a U.S.-based financial services company, completed the acquisition of Crop Risk Services (CRS) from American International Group (AIG) Inc. for $240 million. Through this acquisition, American Financial Group (AFG) Inc. aims to leverage the strategic alignment with its existing crop insurance operations and expand its specialized niche businesses. American International Group (AIG) Inc. is a U.S.-based finance and insurance corporation that offers crop insurance services.

Major companies operating in the crop insurance market are Agriculture Insurance Company of India Limited, American Financial Group Inc., Chubb Corporation, ICICI Lombard General Insurance Company Limited, QBE Insurance Group Limited, Sompo International Holdings Ltd., Tokio Marine Holdings Inc., Zurich Insurance Company Ltd., Philippine Crop Insurance Corporation, AXA S.A., People's Insurance Company of China (Group) Co. Ltd., Fairfax Financial Holdings Limited, American International Group Inc., AmTrust Financial Services Inc., Santam Limited, China United Property Insurance Company Limited, XL Group Ltd., Everest Reinsurance Holdings Inc., Endurance Specialty Holdings Ltd., CUNA Mutual Group, CGB Diversified Services Inc., Farmers Mutual Hail Insurance Company, Archer Daniels Midland Company, Swiss Reinsurance Company Ltd., Munich Reinsurance Company, Bajaj Allianz General Insurance Company Limited, Marsh & McLennan Companies Inc., Willis Towers Watson Holdings plc, Lockton Companies, Brown & Brown Insurance and Risk Management, HUB International Limited, Arthur J. Gallagher & Co.

North America was the largest region in the crop insurance market in 2025. The regions covered in the crop insurance market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the crop insurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The crop insurance market includes revenues earned by entities through sales of insurance services such as providing financial support, stabilizing the income of farmers, maintaining credit flow in agriculture, and covering production risks. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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