Liberty Specialty Markets has launched a bushfire and hail product for Australian vine and orchard growers.

The insurer says the product blends parametric and traditional coverage principles, with satellite technology used to calculate bushfire impact and physical inspection to determine hail damage.

Premiums start from about $10,000 and cover loss of earnings if yield is affected by hail, and the loss of vines and trees from fire. The product is suitable for a broad range of tree- and vine-grown crops including grapes, almonds, macadamias, olives, stone fruits and citrus.

“Erratic weather and an active claims environment have seen many insurers pull out of this market in recent years,” Michael Lincoln, who leads Liberty’s Australian weather team, said. “We know many growers are now uninsured against bushfire and hail damage.”

He says Liberty has analysed hail frequency in Australia and has a scientific approach to pricing.

“Traditionally, hail frequency has been hard to predict and we’ve worked with a third party to study and map hail impact to allow us to remain committed to our growers,” Mr Lincoln said.

Liberty says it is preparing to be one of the few insurers committed to bushfire and hail cover for the 2024-25 growing season.

“Policies for the upcoming growing season need to be in place by the end of September, so now is the time for brokers to be thinking about their agricultural clients,” Mr Lincoln said.