The Constructing Of Policy Agricultural Insurance Catastrophe Risk Disperse Model In China

Recently years, typhoon, flood, cold, diseases and insect pests of regional or national agricultural catastrophe occurs frequently in recent years which has already caused a very serious impact to agricultural production and farmers’ life in China, even spread to the entire national economy’s stable running. Overseas experience indicated that agricultural insurance is the effective means to against the natural catastrophe and ensure the stable development of agriculture. But based on the several tens of year’s experience, the development of agricultural insurance couldn’t be success without a set of effective catastrophe risk dispersion pattern. Due to China’s agricultural insurance was just started in recently 30 years, current agricultural insurance institution’s accumulated experience is limited, the operating profits is not sufficient to compensate for the surplus of agricultural catastrophe losses over the years, and the lack of funds and the low dispersion ability threat to the insurance agency’s survival, so all above have a negative impact on agricultural production and disaster relief and post disaster restoration process.The central theme of this research around the optimization of China’s agricultural insurance catastrophe risk dispersive operation mode, start from the characteristics of catastrophe, catastrophe risk, through the financial analysis for the agricultural insurance policy of economic to differentiate between the policy agricultural insurance catastrophe risk and general insurance risk, as well as specific the importance of agricultural insurance catastrophe risk diversification mode. Compare the experience of USA, Canada, Japan, Spain, Brazil and other major foreign agricultural insurance catastrophe risk dispersion pattern with our china current agricultural catastrophe insurance dispersion model, to get the key points of construction of agricultural insurance catastrophe risk diversification mode. Through the cases study from Anxin agricultural insurance company 10 years’ daily operation and results, analysis of the actual operation experience and inadequate in order to provide the reference for the construction of China’s national conditions and characteristics of agricultural catastrophe risk multilevel agricultural insurance catastrophe risk diversification mode. This research draws the main conclusions are as follows:1. Agricultural catastrophe insurance quasi-public goods determines the properties of the leading commercial insurance companies to carry out agricultural disaster insurance has a certain degree of difficulty. This article on the behavioral characteristics of agricultural insurance were the parties involved Economic Analysis, to verify the Government’s intervention and policy support for agriculture is a necessary condition for Catastrophe insurance. Based on the market practice since 2004, it proved china Agricultural insurance is policy agricultural insurance and the pure commercial Agricultural insurance cannot successfully develop without the Government lead.2. Based on the example of Anxin agriculture insurance company and starting the reaching on agricultural insurance operation from the perspective of the insurance agency, we can find out the main problem restricting the development of China’s agriculture Insurance is China has not yet formed an effective dispersion pattern central level as Catastrophe Risk Insurance facing agriculture continue to accumulate.3. Study from the agricultural insurance catastrophe decentralized model of the United States, Canada, Japan, Spain, Brazil and other major foreign to seek out that the governments have played a leading role in agricultural insurance catastrophe risk diversification, and to provide the necessary financial support, through legislate or help agricultural insurance agencies risk diversification. Also the details country-specific models are different. In conclusion these are suitable for the present situation of the catastrophe to build decentralized model provides inspiration, namely:for state financial support, a sound reinsurance system, explore market-based financing instruments.4. The research argues that build elements of agricultural catastrophe risk dispersed mechanisms with government and market-oriented operation; policy-based agricultural insurance system as a framework, commercial insurance agencies operation; establishment of a national agricultural reinsurance company as a core reinsurance system, implement compulsory reinsurance according to the law compulsory reinsurance, and actually responsible for the operation and management of agricultural catastrophe risk fund, conduct reinsurance bid to domestic and foreign reinsurers, practice of catastrophe risk securitization and other specific services with the help of the capital markets; the central and local governments to participate in and provide the final classification protection.