Weather index insurance plays an important role in helping farmers avoid their economic loss from weather risk. There is increasing numbers of pilot areas of weather index insurance in China while the studies show its take-up has been disappointing low in many other developing countries. This study aims to explore the status of weather index insurance and its processing problems in China through the factors influencing farmers’ willingness to pay for Low-Temperature Index-based Mandarin Orange Insurance in Nangfeng County. The Fuzzy-Set Qualitative Comparative Analysis is conducted for the influencing factors, including strike level, premium, pay-out, planting cost, effect of low temperature, insurance claim process, trust in insurance and government subsidy. The result shows the combination of expensive premium, low payout, high planting cost, low government subsidy and distrust in insurance company causes farmers’ unwillingness to pay for Low Temperature Index-based Mandarin Orange Insurance, among which distrust is core factor. Expensive premium, low payout, high planting cost and low subsidy from government are main influencing factors.
IOS Press, Inc.
6751 Tepper Drive
Clifton, VA 20124
Tel.: +1 703 830 6300
Fax: +1 703 830 2300 email@example.com
(Corporate matters and books only) IOS Press c/o Accucoms US, Inc.
For North America Sales and Customer Service
West Point Commons
Lansdale PA 19446
Tel.: +1 866 855 8967
Fax: +1 215 660 5042 firstname.lastname@example.org