Research On The Pricing And Product Design Of Corn Income Insurance In Henan Province

Henan Province,as the main producing area of corn,corn production has always been in an important position.Ensuring corn production is of irreplaceable significance to national food security and the smooth operation of the national economy.However,as a typical weak industry,agriculture is easily affected by natural disasters.For a long time,the Henan provincial government has attached great importance to the prevention of yield loss risks,but the traditional corn yield insurance has a low level of guarantee,which is difficult to meet the risk requirements of scale,modernization and marketization.moreover,with the implementation of the reform of corn purchasing and storage system,the exposure of price risks further requires the evolution of agricultural insurance to "guaranteed price and guaranteed income".due to the obvious systematic characteristics of prices,insured price risks are easy to cause huge compensation,and it is difficult to provide insurance products for grain crops with strong homogeneity and determined yield.Compared with price insurance,income insurance covers both yield risk and price risk,and can become the development direction of agricultural insurance in the future.Therefore,it is necessary to actively carry out research on corn income insurance in Henan Province to provide technical support and theoretical basis for the implementation of income insurance.Firstly,this paper analyzes the background of developing corn income insurance in Henan Province,discusses the output risk and price risk in the corn production process in Henan Province,as well as the necessity and feasibility of implementing corn income insurance.Secondly,in order to realize the differentiation of heterogeneous risks and reduce the impact of cross subsidies,the differential pricing of corn income insurance in 18 cities of Henan Province is carried out from three aspects of agricultural production risk assessment,risk zoning and insurance rate determination.The results show that:(1)the aggregation of homogeneous risks can achieve the equivalence of rate and risk.That is to say,the risk heterogeneity of provincial or larger administrative units is strong,and small-scale production data such as Prefecture and city can better achieve the convergence of homogeneity risk,so as to achieve the equivalence of insurance rate and insurance risk.(2)Systematic risk difference determines the implementation of income insurance.That is to say,regions with low systematic risk have the potential to take the lead in developing income insurance,while regions with high systematic risk need to promote income insurance after the completion of planting structure adjustment.It is necessary for new operators with complete data to independently carry out rate determination and design individual income insurance.(3)The development of high quality insurance products depends on scientific rates and authoritative divisions.That is to say,high-quality insurance products should not only determine regional rates scientifically,but also include all costs,and realize authoritative risk zoning to ensure the homogeneity of regional risks.Finally,from the perspective of promoting the implementation of income insurance,it is suggested to enhance the research of data accumulation and rate division;improve the premium subsidy management and supervision system to establish a marketoriented risk dispersion system;strengthen the design and service of income insurance products.The innovation of this paper is that on the basis of determining the premium rate of corn income in 18 cities of Henan Province,Va R theory is used to calculate sufficient premium rate to realize the financial safety of insurance companies,and by collecting rainfall data and terrain data to construct zoning indexes,the risk zoning of agricultural insurance is realized,thus providing high-quality agricultural insurance products for farmers.