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Development Ideas of Meteorological Index Insurance for Crop Pests and Diseases

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  • LI,Yan
  • CHEN,Shengwei

Abstract

Pests and diseases are one of the most important disasters facing crops in China. In order to solve the limitations of the existing pests and diseases insurance products in the aspects of fuzzy definition of insurance liability, different setting of claim points, and the design and operation of moral hazard and adverse selection, this paper puts forward a new idea of applying meteorological index insurance to the risk management of pests and diseases, which can be summarized as the following four parts: acquisition and collation of data, determination of the production reduction caused by the pests and diseases, the selection of meteorological factors of pests and disasters and the construction of index, and the setting of the pure rate of insurance. In the future, in the study of meteorological index insurance for crop pests and diseases, we should strengthen the cooperation among meteorology, plant conservation, insurance and agronomy, and other interdisciplinary fields, scientifically quantify the production reduction caused by pests and diseases, and pay attention to the information exchange among the government, the insurance company and the farmers.

Suggested Citation

  • LI,Yan & CHEN,Shengwei, 2018. "Development Ideas of Meteorological Index Insurance for Crop Pests and Diseases," Asian Agricultural Research, USA-China Science and Culture Media Corporation, vol. 10(07), July.
    • Handle: RePEc:ags:asagre:281257
    DOI: 10.22004/ag.econ.281257
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    Keywords

    Agribusiness;

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