Research On The Design Of Pig Income Index Insurance Products In Guizhou Province

There is a 40-month cycle change in the price of live pigs.In extreme cases,the rise and fall not only bring inconvenience to the daily consumption of residents,but also have a negative impact on the development of the pig industry,and are not conducive to the stability of the price in China.In addition to market risks,pig farming is also plagued by disease risks.In particular,African swine fever was rampant in China in 2018,which caused a great blow to the whole industry.There were four cases in guizhou province alone.In order to protect and develop the pig breeding industry,the central government and insurance companies have successively launched policy-based pig insurance.Guizhou provincial government and insurance companies,on the basis of the provincial conditions,vigorously promote pig insurance.The current insurance products mainly include reproductive sow insurance,fattening pig insurance and pig price index insurance.According to the no.1 document of the central government in2016,the pilot work of income insurance should be explored and carried out.Based on the in-depth analysis of the pig insurance currently promoted in guizhou province,this paper draws on the advanced experience at home and abroad to develop and design the pig income index insurance.Firstly,the feed cost is the most important factor in pig breeding cost by principal component analysis.In practice,some provinces and cities adopt the method of designing pig price index insurance with "pig grain ratio" as the core.Therefore,the price index insurance contract of yanhe county,guizhou province in 2018 isselected as a case.By comparing the number of claims triggered by the price trigger and the pig-grain ratio,the feasibility of the pig-grain ratio as the agreed index is further proved.Finally,the insurance rate is calculated according to the selected pig grain ratio.This paper argues that at present,the pig insurance products in guizhou province have developed rapidly and have been supported by government agencies and insurance companies at all levels.However,the pig breeding market is facing many problems at present.Therefore,this paper suggests to continue to promote the listing of live pig futures and provide price guidance for the spot market.We will continue to guard against African swine fever and strictly control the spread of the disease.Establish the policy-based agricultural insurance administration of guizhou province,and coordinate the development of agriculture-related insurance in the province;To improve the effectiveness of farmers’ demand for index insurance;Develop and design income insurance.