Effect Evaluation Of Government-supported Agricultural Insurance In Different Schemes

At present, the research of Policy-oriented agricultural insurance was mainly in two directions: Oneis the research of the organization and the direction of system, which was discussion on the system ofagricultural insurance and the operation mode. The other is about technical research, includingagricultural insurance product design and risk zoning based on agriculture insurance actuarial.However,how to judge a system choice or an insurance product design is effective? The relatedresearch is very rare. The effect simulation and evaluation of the agricultural insurance have been thedepressions of Research on Chinese agriculture insurance. And it has been the blind area of the furtherperfection and improvement of agricultural insurance in our country.In view of this, this paper uses the farmer level data，and applies the widely used Expected UtilityTheory and the certainty equivalent method to establish the evaluation model for simulating the effect ofagricultural insurance from the perspective of Agricultural insurance which can stable farmer income.Taking the Henan Province as example, this paper is mainly study on the following aspects:First: Evaluation of current policies of agricultural insurance.Comparing with the" no insurance" scenarios，this paper evaluate of current agricultural insuranceprogram and calculate how much the program can give benefits to farmers; Comparing with the" cashsubsidies" situational, this paper analysis the advantage of agricultural insurance.Second: Simulate and analyze the effect of the agricultural insurance plan under the differentschemes, then put forward the improvement proposal.Since the government began to provide premium subsidies in2007, agricultural insurance in ourcountry has been developing rapidly, but at the same time, many problems have been exposed. Manyscholars think that the agricultural risk assessment and division is seriously lagging behind thedevelopment of China’s agriculture insurance and they proposed to strengthen and accelerateagricultural production risk assessment and division. Therefore, this article sets premium rates,insurance amount at county level, and designs two different insurance schemes. Then by adjusting theproportion of agricultural insurance premium subsidies, this paper optimize the income steady-effect ofcurrent insurance plan, and put forward to improve a proposal, give a certain reference for theagricultural insurance zoning work.Through the above analysis, this paper draws the following conclusions: First, the differences in thepremium subsidies for agricultural insurance mode can improve the stability effect on farmer’s income.Secondly, when identify premium rate on the county level and set the proportion of77.50%premiumsubsidies, the agricultural insurance is not only effective and more advantages. Thirdly, if designinsurance amount on county level, we should take with the risks of each county, to ensure the validityand advantage of agricultural insurance.