The Analysis Of Raisers' Demand For Insurance Of Pigs

In China, epidemic diseases of pigs happens frequently, especially the breakout of the serious epidemic diseases, which have had an great impact on production of pigs. Once epidemic diseases happened, It will result in huge economic losses to the rearers. The policy-type insurance for pigs can shift and spread risks to share economic losses. However, since we have no access to experiences for this new topic of the policy-type insurance for pigs, we can only gain the experience in the fumble. During this process, the raiser of pigs is the object to promote the insurance for pigs. It is necessary to carry on careful discussions about insurance demand in the process of enhancing the policy-type insurance for pigs.Based on existing research and the questionnaire survey from which it has gained data and materials, this thesis analyzes theoretically from the perspective of raisers by synthetically utilizing microeconomics, econometrics as well as related theories and methods, including the relations between the risk of pig epidemic disease and characteristics of raisers, the raisers' purchase willingness of insurance, and their willingness of payment of insurance premium. It possibly be reference for the sustained development of policy-type insurance of pigs in the future.The main conclusions made in this article are as follows.Firstly, the risk of pig epidemic disease affects production and operating activities of raisers enormously. The size of the risk of epidemic disease relates to the cultivation characteristics of raisers. The losses undertaken by raisers who exclusively sell fat pigs is obviously higher than those who sell newborn pigs. The method of self-breeding displays lower risk of epidemic disease.Secondly, the early period guidance provided by the government play a key role in making pigs insured. The main channels for raisers to know about insurance of pigs encompass through government in the county, villages and towns, the township agriculture manage, the village committee, which are followed by the raising livestock bureau, the epidemic-prevention station, the veterinary station and relatives and friends and the colleagues.Thirdly, It concludes that three main reasons for raisers not to take out insurance are as follows, they distrust the insurance company, the low risk of epidemic disease not to buy and the insurance procedure is complex. This manifests that the raisers' enthusiasm for insurance can be raised through enhancing the level of insurance confidence and simplify procedure of insurance and compensation.Forthly, this thesis establishes binary logistic model to make a empirical analysis to the factors that affect raisers' purchase willingness of insurance for pigs in Yunmeng. It is found that the significant factors consist of insurance cognition, insurance confidence level, historical losses of epidemic disease, way of selling (whether exclusively breeding and selling fat pig) and whether to purchase other insurances. These have positive effect on purchase willingness of raisers. Under circumstances of uniform insurance premium and low safeguard, breederss who bear lower risk of epidemic disease tend to have no insurance for their pigs because of reversion choice. In addition, rearers who rear large scale of pigs and join in insurance tend to insure partly because of low risk of epidemic diseases.Fifly, this thesis establishes cumulative logistic regression model to make a analysis to the WTP of insurance and it's factors in Yunmeng. It is found that the average willingness of payment in samples are 26.8 to 30.0 yuan when the insurance premium is in 600 yuan, and this payment is less than 36 yuan without subsidy,but more than 18 yuan insurance premium with 50% subsidy. And the significant factors that affect the raisers' payment willingness of insurance in Yunmeng include historical losses of epidemic disease, whether to purchase other insurances, whether to go out to work, the scale, the educational level, among which the former three factors have positive influence on payment willingness while the latter two negative effects.