Managing Farm Risk Program

This programme seeks to provide rebates for advice and assessments to help farmers prepare and apply for a new insurance policy that assists with the management of drought and other production and market risks. It aims to support farmers by encouraging a more diverse and mature insurance market in Australia to meet the varied needs of all farm businesses.

The objectives of the program are to:
- Improve the capability of farmers to manage drought and other production and market risks through use of agricultural insurance
- Provide a short-term boost to the multi-peril insurance market in Australia.

Rebates will be 50% of the costs incurred by the farm business (GST exclusive), up to a maximum of $2,500. One rebate application per eligible farm business can be made for costs incurred from 1 July 2015. Applications must be submitted within 12 months of the first claimed costs being incurred.

A total funding pool of $20.2 million is available over four years.

Eligible applicants include farm businesses that must:
- Operate as a sole trader, trust, partnership or private company.
- Under normal circumstances, has at least one member who derives at least 50% of his or her income from the farm business.
- Be involved within the agricultural, horticultural, pastoral, apicultural or aquacultural industries.
- Be wholly located in Australia.
- Be registered for tax purposes in Australia with an Australian Business Number (ABN) and is registered for GST.
- Not be a public company under the meaning of the Corporations Act 2001 (Cth).
- Be for the previous financial year, had total cash receipts (see glossary) of less than $2 million.
- Have a written offer or refusal from an insurance provider for a new insurance product that assists with the management of production risks.
- Not have previously applied for and been paid a rebate under the program.

Eligible activities include:
- Undertaking an assessment required by an insurance provider prior to, or within 12 months of, the provider offering an insurance product.
- Compiling historical farm financial performance and production data.
- Preparing an analysis of insurance options in the context of a whole-of-farm risk assessment specific to the farm business applicant over successive seasons.

Please refer to the Guidelines for the list of ineligible activities.