On The Basic Idea For The Legislation On Agricultural Insurance In China

Agricultural insurance as one of the three pillars of modern agriculture sustainable development, For the attention of all countries in the world, As the "stability" and "booster" of rural economy. Most countries have their own national conditions through the establishment of appropriate legal system of agricultural insurance, to determine the basic agricultural insurance system, provided insurance powerful support for the development of agricultural. As one of the few countries that have most serious natural disasters in the world, although China's agricultural insurance have 20 years of exploration and development, However, as the development of agricultural insurance protection legal system remains a serious loss, Agricultural insurance still in a legal vacuum, entirely operated by the Commercial insurance company. After a start to develop until the process of atrophy, Frequent natural disasters often make fanners' harvest hopes evaporated, National food security is also threatened directly. Therefore, the establishment of the legal system of agricultural insurance that is a sound and suitable for China's national conditions, are very important for The country's economic development and political stability. In recent years, with the obvious increase of national financial resources, National agriculture policy also growing, Agricultural insurance legislation has ushered in an important opportunity.Agricultural insurance as quasi-public goods with double positive externalities effect, agricultural insurance "insurable risk" non insured and the high-risk,high-cost,high rate of payment Features caused by the inverse selection and moral hazard that leads Agricultural insurance has significant feature which different from the commercial insurance, That is a typical attribute policy. Agricultural insurance policy decide the needs that The government participate in the supply of agricultural insurance, and it also decided complete commercialization operation of the agricultural insurance mode at this stage does not have basic feasibility. But Currently, China's financial resources have not capacity yet fully borne by the government and risk the loss of agricultural, Full of agricultural insurance policies to the country will create a heavy financial burden and it may also inhibit the development of the insurance market. Many foreign agricultural insurance developed countries through the establishment of a sound legal and economic agricultural insurance system, clear the agricultural insurance policy, construct the agricultural insurance organization system and business model that suited to their national conditions. the long-term practice of Agricultural insurance in China also shows that Agricultural insurance can not leave the government support, but Agricultural insurance business model should be determined in light of local conditions. Therefore, currently China should establish a national relative unity Under the guidance of the government to the commercial insurance business model based diversified agricultural insurance mode. In Agricultural insurance legislation, Policy must be China's agricultural insurance as a basic legal system positioning. At this stage agricultural insurance legislative goals should be established to ensure national grain security-oriented, clear legislative principles of mandatory and voluntary combining and basic principles of security legislation. Some significant agricultural products relate to the national economic and agriculture and rural economic and social development, should be included in the agricultural policies of insurance business,and through the establishment of premium subsidies,Tax incentives,Financial support and reinsurance and other levels of government support system, the government play the leading role in Agricultural insurance . Through the establishment of rights and obligations of agricultural insurance main legal relationship and the establishment of multi-sectoral joint supervision and management system, protect and promote the development of agricultural insurance.