Regional governments are increasing their support for agricultural insurance in a context of growing climate and economic instability. La Rioja, Andalusia, and Castile and León are preparing new calls for applications and increased funding for 2026 to help farmers and livestock breeders insure their farms against droughts, frosts, storms, and other risks.
These measures are intended to reduce the cost of insurance policies , expand coverage, and ensure the continuity of agricultural, aquaculture, and livestock operations. Furthermore, regional governments are adjusting their subsidy models to expedite the delivery of financial support, including through direct discounts at the time of policy purchase.
Strengthening of aid for agricultural insurance in La Rioja
The Government of La Rioja has authorized an expenditure of 5 million euros for the 2026 call for aid intended to finance part of the cost of insurance included in the 2025 Combined Agricultural Insurance Plan. This represents an increase of 500.000 euros compared to the previous year, reflecting a clear commitment to extending insurance coverage to the region's main agricultural and livestock productions.
The goal is for insurance to continue consolidating its position as a fundamental risk management tool in the face of adverse weather events. La Rioja already has insurance penetration rates above the national average, with over 80% of herbaceous crops and around 70% of vineyards covered by policies.
Specifically regarding wine grapes, the latest figures show an increase of approximately 270 hectares in insured land this season, confirming the Rioja wine sector's interest in this type of coverage. This upward trend has been reinforced by the losses experienced in recent years, marked by intense storms and other extreme weather events.
As a new measure, the Rioja Department of Agriculture has introduced regulatory changes to facilitate access to these subsidies for cooperatives and Agricultural Transformation Societies (SATs) with farms. This recognizes their strategic role in developing the region and maintaining the productive fabric of rural areas.
The call for applications also includes specific measures for young farmers and jointly owned farms , which will receive an additional five percentage point increase in subsidies. By 2026, farmers and livestock breeders in La Rioja will have access to 29 insurance lines for agricultural production and 11 for the livestock sector.
Public support is especially relevant in the wine grape sector , where the regional subsidy, combined with state aid, will allow reaching between 70% and 75% of the premium cost, the maximum authorized by EU regulations.
The increase in coverage comes amid a very high rate of claims. In 2025, compensation paid to farmers and livestock breeders in La Rioja reached €34 million, a record high and 54% more than in 2024, when it stood at €21,7 million. Claims were reported on 44.784 hectares, affected mainly by storms that occurred from late spring through the summer.
Within these compensations, the Rioja vineyard was the most affected production, with 16,6 million euros in compensation, which highlights the importance of maintaining a high level of insurance in this key crop for the regional economy.
Andalusia: more than 16 million and a direct discount on the premium
The Andalusian Regional Government plans to launch two lines of aid for the contracting of agricultural insurance in 2026, totaling more than 16 million euros, which, according to initial estimates, could benefit around 15.000 farmers and livestock breeders in the region.
These subsidies are primarily aimed at combined agricultural insurance policies , considered a key element in protecting producers' income against the increasing frequency of adverse weather events, such as prolonged droughts, severe frosts, and intense storms. Climate change is increasing exposure to risk and, consequently, the importance of having adequate insurance policies.
The Board emphasizes that insuring agricultural, aquaculture and forestry operations is crucial to guaranteeing their stability in the medium and long term, contributing to the continuity of activity and the maintenance of employment linked to the Andalusian countryside.
Since 2024, the Andalusian government has been implementing a phased reform of the payment model for agricultural insurance incentives, aiming to ensure that aid arrives immediately, rather than a year late. The goal is for all producers to benefit from a direct discount on the insurance price at the time of signing the policy.
This new system is based on an agreement signed with Agroseguro (Spanish Association of Combined Agricultural Insurance Entities) and proposes that the subsidy amount be automatically deducted from the premium. In this way, the producer no longer has to wait for a later payment and receives the financial benefit at the time of purchase.
Currently, direct discounts are already being applied to a growing number of policies and are being gradually extended to the rest. For those insurance types that have not yet been incorporated into this system, traditional subsidies with repayment after the fact remain in place.
In practice, two combined agricultural insurance support schemes currently coexist in Andalusia . On the one hand, traditional aid is maintained, which in the 2026 call for applications will cover policies contracted in 2025 and will have a budget of 3,7 million euros, with a forecast of some 9.500 policies and nearly 4.000 beneficiaries.
On the other hand, a second subsidy program, with a budget of €12,5 million , will be launched in 2026, based on a direct discount on the policy price. With this program, the regional government expects to reach approximately 11.000 Andalusian insurance producers and support the purchase of around 16.500 policies during that year.
These grants, financed with the community's own resources , are in addition to the subsidies granted by the State Entity for Agricultural Insurance (Enesa), which depends on the Ministry of Agriculture, Fisheries and Food, thus increasing the overall level of support for the contracting of agricultural insurance in Andalusia.
Castile and León: more aid and plans linked to agricultural insurance
In Castile and León, the regional president has announced an increase in aid for agricultural insurance and the promotion of two specific plans with a joint investment of 20 million euros aimed at modernizing and insuring extensive livestock farms, as well as improving the sheep sector.
These initiatives are part of a broader package of support measures for the primary sector , considered one of the economic and social pillars of the community, especially in rural areas at risk of depopulation. Strengthening insurance is presented as a way to improve the income stability of farmers and livestock breeders in the face of climate, health, and market risks.
The commitment to increasing subsidies for insurance policies aims to facilitate access to agricultural insurance for a greater number of farms, while simultaneously improving the level of coverage. The regional government intends for these protection mechanisms to be available to established professional farms, as well as to young farmers entering the sector and to projects in more challenging areas.
The plans related to extensive livestock farming include investments to improve infrastructure, biosecurity, and sustainability on cattle, sheep, and other extensive livestock farms, with the aim of strengthening their competitiveness and their capacity to cope with adverse events. Although the specific calls for proposals will depend on the budgetary process, the announced line of work positions agricultural insurance as one of the cornerstones of the regional agricultural policy.
In the regional political debate, it has also been emphasized that the failure to approve the regional budget for 2026 has left some of these initiatives in limbo, including the specific increase in agricultural insurance subsidies and the implementation of two plans with a budget of 20 million euros. The regional government has reiterated its commitment to resuming these measures as soon as the budgetary framework allows.
In parallel, the commitment remains to coordinate future calls for regional aid with state subsidies from Enesa , in order to optimize resources and improve the effectiveness of the combined agricultural insurance system in the community.
Taken together, the decisions made by La Rioja, Andalusia, and Castile and León point to a scenario in which public aid for agricultural insurance is gaining importance as a structural policy to support the agricultural sector. Increased budgets, the introduction of mechanisms such as direct premium discounts, and attention to priority groups (young farmers, shared ownership, cooperatives, and extensive livestock farming) are shaping a model in which insuring farms is no longer a secondary option but is increasingly becoming an essential component of agricultural management.
