Japan Crop Insurance Market

Japan Crop Insurance Market Insights Forecasts to 2035

• The Japan Crop Insurance Market Size Was Estimated at USD 3.1 Billion in 2024
• The Market Size is Expected to Grow at a CAGR of Around 5.17% from 2025 to 2035
• The Japan Crop Insurance Market Size is Expected to Reach USD 5.4 Billion by 2035

According to a research report published by Decision Advisors  & Consulting, the Japan crop insurance market size is anticipated to reach USD 5.4 billion by 2035, growing at a CAGR of 5.17% from 2025 to 2035. The crop insurance market in Japan is driven by increasing climate-related risks, government subsidies, rising farmer awareness, and the adoption of modern agricultural practices. The market grows as farmers seek income protection against unpredictable weather, pest outbreaks, and other environmental uncertainties.

Market Overview

The crop insurance industry is responsible for providing financial protection from loss and/or damage of farm crops to farmers that arise due to natural disasters, pests/disease, or the effects of bad weather. This is accomplished by way of crop insurance policies that provide coverage for yield losses, revenue losses, and price movements. Through subsidized premiums and administrative assistance through the Ministry of Agriculture, the Japanese government propels the crop insurance industry, improving affordability for smallholders. Policies now cover specialist crops, while cooperative programs and local partnerships expand coverage to neglected areas. To reduce crop failure losses, for instance, specific awareness programs and premium support were given to areas vulnerable to drought and flooding. The rapid development of satellite-based risk assessments, online project enrolment, and fast claims processing utilizing digital technologies has made it very easy for many farmers to use and participate in these programs. There is also potential for future support for small and elderly farmers, farmers growing high-risk crops, and farmers using sustainable farming techniques, through these programs.

Report Coverage

This research report categorizes the market for the Japan crop insurance market based on various segments and regions, and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Japan crop insurance market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition, have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Japan crop insurance market.

Driving Factors

The crop insurance market in Japan is driven by climate-related risks like drought, typhoon, and flooding pose risks to crop yields and farm income. Government support via cooperative funding and subsidies is essential in helping small farmers. Farmers are becoming increasingly aware of their need for income protection and risk management; therefore, taking advantage of available options. New technology, such as satellite monitoring for yield potential, e-claims processing, and parametric insurance, has improved the efficiency of the crop insurance sector in Japan.

Restraining Factors

The crop insurance market in Japan is mostly constrained by the number of small-scale farmers lacking knowledge about crop insurance options and the difficulties of interpreting complicated policy language and related legal issues. As well, cooperative networks are fragmented, and farmers frequently experience delays in receiving claim payments.

Market Segmentation

The Japan crop insurance market share is classified into coverage type and distribution channel.

• The multi-peril crop insurance (MPCI) segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The Japan crop insurance market is segmented by coverage type into multi-peril crop insurance (MPCI), and crop-hail insurance. Among these, the multi-peril crop insurance (MPCI) segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. Japan's crop insurance industry is dominated by Multi-Peril Crop Insurance (MPCI), which offers more comprehensive financial protection by covering a variety of hazards, including diseases, pests, and natural catastrophes. Adoption is further encouraged by government subsidies and cooperative backing, which makes MPCI more alluring than crop-hail insurance.

• The insurance companies segment accounted for the largest revenue share in 2024 and is expected to grow at a significant CAGR during the forecast period.   

The Japan crop insurance market is segmented by distribution channel into banks, insurance companies, brokers and agents, and others. Among these, the insurance companies segment accounted for the largest revenue share in 2024 and is expected to grow at a significant CAGR during the forecast period. This is because they offer direct access to comprehensive policies, work with the government and cooperatives, provide premium discounts, and guarantee effective claims processing, insurance firms are more trusted and frequently used than banks or brokers in Japan's crop insurance market.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Japan crop insurance market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Norinchukin Bank & JA Insurance Group
• Tokio Marine Holdings
• Sompo Holdings
• Kumiai Chemical Industry Co., Ltd.
• Sumitomo Chemical
• MS&AD Insurance Group Holdings (Mitsui Sumitomo)
• Bayer CropScience Japan
• Nihon Nohyaku Co., Ltd.
• Arysta LifeScience Japan (UPL)
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments:

• In July 2024, Zenkyoren and IFAD issued a USD 50 million nutrition bond to boost food security and rural development. This effort, which is a component of Japan's cooperative insurance framework, increased the relevance of crop insurance by connecting it to sustainable investments, resilience, and nutrition in small-scale farming communities.

Market Segment

This study forecasts revenue at the Japan, regional, and country levels from 2020 to 2035. Decision Advisors has segmented the Japan crop insurance market based on the below-mentioned segments:

Japan Crop Insurance Market, By Coverage Type

• Multi-Peril Crop Insurance (MPCI)
• Crop-Hail Insurance

Japan Crop Insurance Market, By Distribution Channel.

• Banks
• Insurance Companies
• Brokers and Agents
• Others

FAQ’s

Q: What is the Japan crop insurance market size?

A: Japan crop insurance market size is expected to grow from USD 3.1 billion in 2024 to USD 5.4 billion by 2035, growing at a CAGR of 5.17% during the forecast period 2025-2035. 

Q: What are the key growth drivers of the market?

A: Market growth is driven by climate-related risks like drought, typhoons, and flooding pose risks to crop yields and farm income. Government support via cooperative funding and subsidies is essential in helping small farmers. Farmers are becoming increasingly aware of their need for income protection and risk management; therefore, taking advantage of available options. New technology, such as satellite monitoring for yield potential, e-claims processing, and parametric insurance, has improved the efficiency of the crop insurance sector in Japan.

Q: What factors restrain the Japan crop insurance market?

A: Constraints include the number of small-scale farmers lacking knowledge about crop insurance options and the difficulties of interpreting complicated policy language and related legal issues. As well, cooperative networks are fragmented, and farmers frequently experience delays in receiving claim payments.

Q: How is the market segmented by coverage type?

A: The market is segmented into multi-peril crop insurance (MPCI), and crop-hail insurance.

Q: Who are the key players in the Japan crop insurance market?

A: Key companies include Norinchukin Bank & JA Insurance Group, Tokio Marine Holdings, Sompo Holdings, Kumiai Chemical Industry Co., Ltd., Sumitomo Chemical, MS&AD Insurance Group Holdings (Mitsui Sumitomo), Bayer CropScience Japan, Nihon Nohyaku Co., Ltd., Arysta LifeScience Japan (UPL), and Others.

Q: Who are the target audiences for this market report?

A: The report targets market players, investors, end-users, government authorities, consulting and research firms, venture capitalists, and value-added resellers (VARs).