CBH Mutual has had “a good response” from WA farmers signing up for its crop multi-peril insurance scheme.

insuranceNEWS.com.au understands about 15% of the WA grain crop will be covered in the next growing season, but CBH Group Chief Risk Officer Rob Maurich declined to confirm the figure, citing commercial confidentiality.

“We received a good response across the wheatbelt, including from growers in shires affected by recent difficult seasons,” he told insuranceNEWS.com.au.

“The applications submitted are still being reviewed.”

Mr Maurich says the specific area under cover will be known when farmers accept their offers. That period closes on May 20.

“We do expect the vast majority of applications will be successful in obtaining cover,” he said.

“There were a very small number of applications which will not progress due to the information supplied being incomplete.”

Mr Maurich says the growers now have a better understanding of the product as a result of making an application.

“We are very satisfied that the number of applications will enable both CBH Mutual and growers to gain a much better understanding of the product,” he said.

“Feedback from growers has been very positive, including that the product is innovative and reasonably priced.”

WA Farmers Federation Risk Mitigation Committee Chairman Bob Iffla told insuranceNEWS.com.au he believes the product will enable a number of farmers – especially younger ones – to remain in the industry.

He says the product could be launched nationally covering many different types of crop.

“The Federal Government needs to look at this product.”

WA grain farmers have suffered recently from a crippling drought in the state and this started the call for insurance to cover production costs.

With other areas of Australian farming being hit by severe weather this summer, it is expected there will be a push by lobbying groups to have multi-peril crop insurance introduced into their areas.