Research On The Promotion Of Rural Micro-Credit Insurance

Since our country is a large agricultural country, agriculture has been the lifeblood of the national economy. As farmers are served as the main productivities to promote national economic development and food security, their survival and development has been the concern of the whole country. In the new era of China, all circles of the society paying attention to "three rural" issues, also reflects the agricultural development and social stability of China's economic development has a pivotal role. However, a series of problems such as the weak anti-risk ability of agriculture, lack of rural sources of funding, instability of farmers'income have restricted the development of China's agriculture to some extent, thus affecting the improvement general standard of living of the society. The above problems make the living standards and income of farmers cannot be guaranteed, so farmers have pressing needs for loans, while the inferior agriculture, the imperfect rural economic system, the natural and moral hazard-prone and other conditions has led to difficult agricultural loans.In this dilemma situation, in 2009, the central first document for the first time proposed to develop the "Rural micro-credit and micro-finance services", explore the establishment of "the combination of rural credit and agricultural insurance mechanism of the bank insurance".Therefore, this paper intends to study the theoretical content of micro-credit insurance, combined with the case study of micro-credit insurance, to explore the problems encountered in the development of small credit insurance in rural areas, and study the situation of rural borrowing, investigate the current situation of rural borrowing through field visits to research local farmers, insurance companies and financial institutions.Through the survey results, we analyze the impact of family per capita income, the participation of cooperatives, the agricultural insurance, loan interest rate, loan term, loan amount and other factors to participate on micro-credit insurance. Through the empirical analysis, it proves the influence of the above factors on the willingness of insurance, and through the feasibility analysis, we find the scientific and reasonable premium subsidy system has a positive role in all aspects. Finally, combined with the comprehensive theoretical research and field survey, we put forward reasonable scientific policy recommendations for the promotion of Rural Micro-Credit Insurance in Hunan and other provinces:the premium subsidy system should deepen the optimization. The cooperation between banks and insurance companies should simplify audit procedures. The micro-credit insurance should be endowed with the function of protecting special loans. Insurance companies should expand the scope of protection. The financial sector should participate in the construction of risk funds, strengthening the construction and improvement of rural credit system.