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Instrument

Animal disesase fund

Description

An animal disease fund pays compensation and provides subsidies for animal losses caused by epidemics (including notifiable diseases) or other transmittable animal diseases. It reduces the risk of animal losses caused by disease or epidemics and improves their predictability. Fiancial compensation is usually paid for animals slaughtered by order of the authorities and sometimes also for animals who are discovered post-mortem to have been infected with a notifiable animal disease. The animal disease fund is financed from the insured parties’ regular premiums but may also be subsidised by the state.

The loss of income that arises until the herd is re-established can be partly compensated for with private loss-of-revenue insurance. Membership of an animal disease fund is usually compulsory for farmers. Compensation payments can be subsidised by the state.

Requirements

  • A properly functioning country-wide administration and monitoring system with access to the relevant information and sufficient technical and human capacities for its design, implementation and monitoring
  • Clear responsibilities in public authorities
  • Close cooperation and knowledge sharing with local advisory services
  • Close cooperation and knowledge sharing with research institutions
  • Country-wide monitoring of livestock numbers, performance, and the risk of disease (e.g. via an animal health service)
  • Close cooperation and knowledge sharing with farmers' organisations
  • Properly functioning veterinary and health authorities
  • Regulatory framework
  • Skilled / specialised personnel to man the respective institutions / provide the respective services

Possible Negative Effects

  • Farmers neglect precautionary measures
  • Personal gain, corruption
  • Animal disease funds are financially overstretched
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This page was last edited on 24 October 2019 | 9:37 (CEST)
Implementation Level
  • Competent Authority
  • National Government
Required Budget
medium ($$)
Impact Horizon
  • short
  • medium
Administrative Complexity
medium
Ministries Involved
  • Agriculture, Fisheries & Forests
  • Finance
  • Health
Trade Impact
not distorting
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