A Study On Diverfication Of Catastrophic Risks In Agricultural Insurance

The agriculture of China has been suffered from lots of natural disasters. It is a problem which is quite worthy to pay attention to that how to improve the ability against the disasters as far as the sustained healthy development of the entire national economy and the agriculture itself are concerned. The agricultural insurance is a long-term system to keep the society and economy steady by decentralizing and transferring the risks in advance, meanwhile, it enhances peasants'ability both in anti-risk and the recovery after it. Since 2004, The Central Committee has continuously emphasized the importance of agricultural insurance for 6 years and required localities to create an efficient policy-oriented program in running and expanding agricultural insurance, to establish a healthy reinsurance institution and to form a system in transferring the risk gradually. Thus, it is very meaningful to set up such a mechanism to transfer catastrophic risk in agricultural.This thesis firstly makes a review on some theories about agriculture risk, agricultural insurance and catastrophic risk; shows the risks that encounter china's agriculture plus the rules and features of them as well as the agricultural insurance policy. After that, it imitates and measures the catastrophic risk in agricultural using a non-parametric model of information diffusion based on development of agricultural production and agricultural insurance in Beijing. The result proves that a reasonable agricultural insurance catastrophe risk-sharing ratio not only can inspire the insurance company to commercialize the risk-transfer system but also can be helpful for government agricultural catastrophic risk reserve fund institution and the healthy sustainable development of insurance system. We also refer some related experiences in USA, Japan and Spain which are useful to China.The advices are as follows: (1) Create an agricultural catastrophic transferring system in according to law. (2) Examine the reasonable ratio among the government, insurance company and the peasants in taking the risk. (3) Rear the sense of risk in peasants. (4) Supervise and manage this system efficiently.