Law, Liability, and Livelihoods Strengthening Agricultural Insurance in Latin America

Abstract

Agricultural insurance in Latin America remains underutilized, leaving farmers vulnerable to economic shocks and environmental disasters. This paper investigates the legal challenges that limit insurance penetration in Brazil, Argentina, and Peru, including ambiguous liability clauses, inefficient regulatory enforcement, and financial exclusion of smallholder farmers. The study explores the role of legal reforms in enhancing farmer protections, reducing premium costs, and fostering market-driven insurance models. The paper concludes with policy recommendations for harmonized insurance regulations, legal safeguards for claim disputes, and subsidies for vulnerable farming communities.