Czech support for insurance premiums for large agricultural companies incompatible with EU State aid rules
The European Commission has concluded that support granted by Czechia in 2018 for insurance premiums to certain large agricultural companies is incompatible with EU State aid rules. As a result, Czechia must recover the aid, together with interest, from the beneficiaries.
The aid was intended to facilitate access to insurance for crop and livestock producers against natural disasters and adverse weather events. However, the Commission’s in‑depth investigation, launched in January 2021, found that several large companies were wrongly classified as SMEs by the Czech authorities and therefore received aid without fulfilling the requirements of the 2014 Guidelines for State aid in agriculture, forestry and rural areas.
The non-confidential version of the decision will be published under case number SA.51501.
For more information, see the Commission’s PR.