Research On The Operation Mode And Optimization Path Of "Insurance+Futures" In China

Agriculture is a natural weak industry.Agricultural production has the characteristics of long cycle and great influence by natural conditions.In recent years,the market price of agricultural products in my country have fluctuated violently,and natural disasters such as droughts,floods and insect pests have occurred frequently,and farmers’ income cannot be guaranteed,resulting in their production enthusiasm is seriously hit,farmers and other agriculture-related entities have increasing demand for hedging.However,traditional agricultural insurance has obstacles in managing the risk of crop product price fluctuations.As a risk management tool,futures has the problem that the "big" futures market and "small" farmers are not connected smoothly.Under the background of the country promoting agricultural supply-side reform and exploring grain market reform,the innovative model of "insurance + futures" came into being.From steadily expanding the pilot to optimizing the mode,the "Central No.1" document mentioned the "insurance+ futures" pilot for seven consecutive years."Insurance + futures" model is a cross-border innovation,can full play to the different advantages of insurance and futures as risk management tools,effectively transfer and disperse risks that are difficult to be covered by traditional crop insurance,to a certain extent avoid the "valley hurt farmers" and "high yield but not good harvest",stable and improve the farmers’ income,realizes a win-win situation for farmers,agricultural enterprises,insurance companies,futures companies and other parties,and forms sustainable benign interaction mode.In addition,as a new agricultural risk management tool,"insurance+ futures" has found a breakthrough to solve the dilemma of China’s agricultural insurance market and futures market,which is of great significance to promoting the high-quality development of my country’s agriculture,realizing rural revitalization and agricultural and rural modernization.The pilot project of "insurance + futures" has been carried out for seven years.How effective is the pilot program? How to solve the problems existing in the "insurance + futures" model? Premiums are mainly derived from futures exchange subsidies.Is this subsidy method sustainable? What is the future development direction and optimization path of "insurance + futures" ? These are all the questions to explore in this paper.This paper adopts the research methods of literature induction,case analysis and comparative analysis.First,by reading and arranging a large number of literature and reviewing the literature by topics,the author grasps the operation mechanism,development status and existing problems of the "insurance+futures" model,thus laying the foundation for the later analysis.Then this paper combed the development of "insurance + futures" mode,this paper expounds the operation mechanism of the "insurance + futures",and then the apple,soybean,eggs three typical cases one by one,on this basis,from the participants,insurance,risk transfer path,subsidies,project effectiveness for comparative analysis.Then,the paper introduces the development situation of the "insurance + futures" mode from many aspects,and summarizes the current problems of this mode.Subsequently,this paper summarizes the utilization of agricultural insurance and agricultural futures market in the United States and the combination of American agricultural insurance and agricultural futures market,and draws the enlightenment of the development of American agricultural futures market and agricultural insurance on the development of "insurance +futures" in China.Combined with the problems existing in the operation process of "insurance + futures" mode in China and the experience of the United States,this paper puts forward four expansion modes of "insurance + futures" and its optimization path.This paper draws the following three conclusions: First,the "insurance + futures" mode has positive significance and achieved remarkable results.Second,the "insurance +futures" mode still has some problems that cannot be ignored,including the immature operation mode,imperfect development of agricultural futures market,imperfect premium subsidy system,imperfect supervision system.Third,from the relevant cases,the current pilot is still mainly price insurance,income insurance is relatively small;from the future optimization path,should promote the "insurance + futures" model to the direction of income insurance,premium subsidies should be transformed into government financial subsidies.Finally,in order to improve the "insurance + futures" mode and promote its sustainable development,the following suggestions: further improve the premium subsidy mechanism,improve risk transfer path,establish catastrophe management system;improve laws and regulations,establish collaborative supervision system;improve our agricultural futures market;and increase the publicity of "insurance + futures".