Swiss Re has confirmed it is in “early discussions” with WA grain co-operative CBH Group to offer crop insurance next year.

“We have been talking to CBH about crop insurance and we are in the design phase at present,” a Swiss Re spokesman told insuranceNEWS.com.au.

“Our team has visited some stakeholders in WA with the aim of introducing a product next year.”

It is not the first time CBH has joined forces with a major insurer to offer multi-peril crop insurance.

In early 2011, it formed a mutual insurance company with broker Willis to offer multi-peril crop insurance to grain farmers in the state.

Policies covered the cost of production for wheat and barley farmers if the crop was hit by a catastrophe.

A report by the National Rural Advisory Council last year found take-up of the WA scheme was low and said the premiums were too high.

A spokesman for CBH told insuranceNEWS.com.au it is still working with insurers to develop a viable insurance model.

“CBH is willing to work with industry organisations and government on the development of multi-peril crop insurance products,” he said.

“If a business model is developed, WA growers could see significant benefits.”