UNDERSTANDING AGRI-PRENEURS' RISK PERCEPTION ANDWILLINGNESS TO PAY FOR CROP INSURANCE

Abstract

In the recent years, Pakistan has been affected from utmost meteorology conditions.
Agriculture is the only sector which have merged in climatic as well as non-climatic.
According to the study, it is observed that the climatic production risk and production
facility risk affected the farmers in District Narowal. Crop insurance is an important
tool to overcome the risk but it has not been implemented to larger extend due to
multiple reasons such as lack of information, supporting polices, expertise and the
willingness of the farmers to adopt such strategies. This study explains the factors
which are influencing the farmer’s demand to adopt crop insurance. The primary
data of 384 farmers from District Narowal of Punjab, Pakistan, is collected through
researcher administered questionnaire. Data has been analysed through binary
logistic regression, to investigate factors that may affect the willingness to adopt crop
insurance. The outcome of study is helpful as a guide for state institutions, insurance
companies, and the policymakers in better execution of such agriculture policy plans.