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1. AGRIC 17 RA 8175 REPORT PRESENTATION KIMBERLY ANGEL SONIO JAYVIE SUGUITAN

2. RA 8175 PURPOSE OF RA 8175 Republic Act No. 8175, also known as the "Revised Charter of the Philippine Crop Insurance Corporation Act of 1995," fundamentally revamped the Philippine Crop Insurance Corporation (PCIC). Its primary purpose was to strengthen the PCIC's role in providing insurance protection to Filipino farmers against losses caused by natural calamities, plant diseases, and pest infestations. This act aimed to ensure the financial stability of farmers and their ability to recover from agricultural disasters, ultimately contributing to the overall resilience of the Philippine agricultural sector. REVISED CHARTER OF THE PHILIPPINE CROP INSURANCE CORPORATION ACT OF 1995

3. RA 8175 It was enacted on December 29, 1995 and significantly amended President Decree No. 1467, the original charter of the Philippine Crop Insurance Corporation (PCIC). REVISED CHARTER OF THE PHILIPPINE CROP INSURANCE CORPORATION ACT OF 1995

4. RA 8175 DECLARATION OF POLICY It emphasizes the importance of developing and supporting an adequate insurance program to manage agricultural risks and stabilize the financial fluctuations farmers face due to crop losses. This program aims to encourage lending institutions to provide credit to the agricultural sector. Recognizing the vulnerability of marginalized subsistence farmers, the law also declares it a policy to extend subsidies to these farmers to make the benefits of the insurance program accessible to them. To maximize the program's effectiveness, the state encourages the formation and promotion of people's organizations and cooperatives as service channels for distributing these benefits. SECTION II

5. RA 8175 SECTION 1 OF PRESIDENTIAL DECREE NO. 1467, which established the Philippine Crop Insurance Corporation (PCIC). It formally creates the PCIC as a body corporate, attached to the Department of Agriculture for budgetary purposes. The PCIC's primary function is to insure qualified farmers against losses caused by natural calamities, plant diseases, and pest infestations. Initially, the coverage focuses on palay crops, but it can be expanded to other crops and non-crop agricultural assets like machinery, equipment, and infrastructure, as determined by the PCIC board. The insurance covers production input costs, the value of the farmer's labor and that of their household members, and a portion of the expected yield, as decided by the board. However, the insurance excludes losses caused by negligence, fraud, or failure to follow proven farming practices. SECTION III

6. RA 8175 SUBSECTION 3.11 OF SECTION 3 OF PRESIDENTIAL DECREE NO. 1467, as amended to read as follows; ‘’ 3.1. To generate internal funds by floating bonds, expansion to other areas of agriculture in order to address insurance needs of the target sector and to do and perform acts and things and to exercise all the general powers conferred by law upon the corporation as are incidental or conductive to the attainment of the objectives of the Corporation.’’ SECTION IV

7. RA 8175 SECTION 5 OF PRESIDENTIAL DECREE NO. 1467- RATE OF PREMIUM AND ITS SHARING Section 5 of RA 8175 focuses on the PCIC's board of directors. It outlines the composition of the board, which consists of 11 members representing various stakeholders: Department of Agriculture : The Secretary of Agriculture serves as the chairperson. Land Bank of the Philippines : The president of the Land Bank is a member. Agricultural Credit Policy Council: The administrator of the Agricultural Credit Policy Council is a member. Private Insurance Industry : The president of the Philippine Insurers and Reinsurers Association is a member. Subsistence Farmers : Two representatives from subsistence farmers are members. Other Members : Four other members are appointed by the President, ensuring representation from diverse backgrounds. The law also emphasizes the board's responsibility for: Policy Formulation: Developing and implementing policies regarding the PCIC's operations. Management Oversight: Supervising the management and administration of the PCIC. Financial Approval: Approving the PCIC's annual budget and financial plans. This section ensures a balanced representation from various sectors in the agricultural industry, enabling effective decision-making and ensuring the PCIC's operations align with the needs of farmers and the broader agricultural community. SECTION V

8. RA 8175 SECTION 6 of PRESIDENTAL DECREE NO. 1467 O utlines; General Manager : The PCIC is headed by a General Manager, appointed by the President from a list of nominees submitted by the Board of Directors. The General Manager must have at least ten years of experience in the insurance industry or related fields. Department Heads: The General Manager appoints department heads to manage different areas of the PCIC, like claims, underwriting, and marketing. Staff : The PCIC employs a professional staff to carry out its daily operations. The law emphasizes that the staff should be qualified and experienced in their respective fields. Compensation : The compensation and benefits of the General Manager and other staff are determined by the Board of Directors. This section ensures that the PCIC has a well-defined structure and competent staff to effectively implement its insurance program and provide efficient services to Filipino farmers. SECTION VI

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