This paper analyzes the role and importance of insurance in agriculture on example of Croatia. The use of multiple sources of literature provides an overview of the most important features od insurance and risk management in agriculture. The major part of the paper is the analysis of crop, plantation and animal insurance in the Republic of Croatia and the method of subsidizing agricultural insurance. The range of insurance products and risk coverage in agriculture is also investigated, for example: Adriatic osiguranje d.d., Croatia osiguranje d.d. i Triglav osiguranje d.d. The agricultural insurance market in Republic of Croatia is characterized by a weak supply of insurance companies, but also a weak demand, so there are only four insurers who have crop and plantation insurance in thei offer, and three of them are animal insurance. The poorly developed agricultural insurance market and farmers low interest in the same, European union and the Republic of Croatia offer the possibility of exercising the right to subsidize part of the insurance premium. In cooperation with the Agency for Payments in Agriculture, fishers and rural development, a tender for Measure 17, crop and plantation and animal insurance, is being conducted. The paper analyzes the number of beneficiaries of Measure 17 by counties, the amount of support from the European Fund for Rural Development and the amount of support from the state budget. The conducted analysis covers the period from 16.10.2016. – 15.10.2017. and 16.10.2017. – 15.10.2018. years.