The contradiction of agricultural insurance implementation needs to face multiple challenges

[China Agricultural Machinery Industry News] Recently, in the provinces of Xiaoxiang, Fujian, Guangdong and other provinces, the agricultural insurance with increasing coverage and security capacity has played a role in disaster relief, while still maintaining high security and low support, and increasing business volume. Contradictions such as weak capacity, market competition and difficulty in dispersing the risk of disasters.

The contradiction of agricultural insurance implementation needs to face multiple challenges

The industry proposes to increase the pertinence of financial subsidies at all levels for agricultural products of different natures, and appropriately reduce the ratio of county (city, district) and farmers' self-paying premiums, in order to mobilize the county (city, district) local governments and the majority of farmers to insure enthusiasm. Improve the insurance company's grassroots capacity to undertake, introduce competition on the basis of full argumentation, promote the orderly and healthy development of agricultural insurance, and enlarge the national policy of supporting agriculture and benefiting farmers.

The role of agricultural insurance is prominent but faces multiple challenges

This year, many farmland in Tonggou Town, Shuyang Town, Shuyang County, Anhui Province suffered from floods, but the final income loss was not too much, because more than 1,900 mu of the 2,800 mu of land in the community bought insurance. "In particular, the 400 mu of land that has been collected is in the insurance, and the members are relieved." Wu Yesheng, chairman of the board of directors, said that the insurance company has already investigated and will make up some of the losses. This year's income will definitely be less, but it will not affect production next year. "We will fight for all farmland next year."

Farmers who benefit from agricultural insurance in the year of the disaster like Wu Yesheng are not a case. In this year's flood-stricken areas in the south, agricultural insurance in Anhui, Hunan, and Jiangxi has become an important barrier for disaster relief between the government and farmers. Finding insurance for disasters is gradually becoming the consensus of farmers.

The role of agricultural insurance disaster relief is based on the gradual expansion of coverage and the gradual improvement of support capabilities. In some counties and cities in the northeast, the high security of one mu of rice has reached 1,000 yuan, basically reaching the production cost, and the wheat insurance protection in some southern provinces is gradually increasing. In addition, in the process of agricultural insurance functioning, the leverage of fiscal funds is prominent. Taking Heilongjiang as an example, in 2015, the central and provincial finances invested a total of 2.1 billion yuan in agricultural insurance premiums, providing farmers with a risk guarantee of about 66 billion yuan, and a financial subsidy fund amplification effect of 32 times. This year, the provincial finance also specially set aside 100 million yuan to carry out catastrophe index insurance for 28 poverty-stricken counties.

Not only in Heilongjiang, in the process of developing policy-based agricultural insurance, the financial leverage of Anhui and Jiangxi has become more prominent. In recent years, Anhui agricultural insurance has shown a rapid growth trend, and the number of subsidized insurance has increased from less than 10 to nearly 60. The finance of Jiangxi Province has increased its support for agricultural insurance for ten consecutive years. The premium subsidy budget has increased from 10 million yuan in the beginning to 240 million yuan in 2015.

However, with the increasing awareness of farmers' participation in insurance, the amount of agricultural insurance business has gradually increased, the level of protection has gradually increased, and the unfavorable factors such as insufficient local financial resources and weak carrying capacity of the company have become new challenges for agricultural insurance to continue to raise the standard.

Insufficient local financial resources

During the investigations in various places, the low insurance premiums became the main problem reflected by the affected farmers, accounting for 73.3% of them. On the other hand, in areas with high demand for agricultural insurance, local finances are often weak, and the problem of excessive subsidies at the county level is more prominent.

Wu Shenglong, a villager in Yingdipo Village, Dongzhen Town, Xinyi City, Guangdong Province, has raised 8 years of pigs. This year, he raised more than 200 pigs, including more than 30 sows. Some time ago, more than 110 pigs were washed away by Dashui, and nearly two hundred square meters of pig houses were washed away. The loss was about 200,000 yuan, but the insurance company only paid 20,000 yuan, and the proportion of compensation was still too small. "Rebuilding the pig house is 350 yuan a square meter, and now it is worrying."

In areas with large demand for agricultural insurance, the fiscal situation is often weak, and the problem of excessive subsidies at the county level is more prominent. The reporter learned from interviews with some major grain-producing cities and counties in the northeast that some counties and cities have a revenue of only 200 million yuan, and they want to continue to improve their support for agricultural insurance. Some cadres in Jiangxi and other places introduced that due to the substantial increase in the variety of agricultural insurance, the financial support pressures of grassroots governments, especially the agricultural markets and counties, have also increased, which has affected the enthusiasm of local governments to promote agricultural insurance to some extent.

Local governments lack enthusiasm for supporting pressures. Zhang Houwu, deputy director of the Agricultural Bureau of Junshan District, Yueyang City, Hunan Province, introduced local cadres, and some new insurances, including vegetable insurance, have no national financial support. They are supported by provincial and county-level financial institutions. For many agricultural counties, financial so much pressure. Local financial resources are limited. Many counties and cities have even inadequate matching of traditional insurance, and they are even unable to support the price insurance. “It’s all eating finances, porridge is not full, you can think of eating steamed buns”!

At present, due to insufficient financial resources, some local governments have defaulted on insurance company premiums. The person in charge of an insurance company in Northeast China introduced that some counties have even defaulted on several years, seriously affecting the enthusiasm of insurance companies. The relevant person in charge of an insurance company in Guangdong said that some places are in arrears with the company's premiums. It is often the case that the premiums payable at the beginning of the year are delayed until the end of the year, and the premiums payable in the second half of the year are delayed until the second year.