This study investigates the willingness to pay (WTP) for index-based drought insurance coupled with agricultural loans by product design and gender, using a contingent valuation method. The empirical estimations reveal several important findings. First, females have lower mean WTP than male farmers each design. Second, do not express preference differences between insured loan designs while mal...

Monitoring is one way to alleviate the moral hazard problem rampant in crop insurance programs. Lacking data on monitoring, we test the effectiveness of monitoring on reducing moral hazard behavior indirectly. We first propose a theoretical model that takes into account several features of the Philippines crop insurance program. Our model predicts that if monitoring is effective, then crop insu...

one of the most important duties of insured in the insurance contract, is to inform the insurer, fully and accurately. this obligation arises in three stages:before conclusion of contract, during the contract and after occurrence of the insured event. the review shows that the insured’s duty before conclusion of contract is reduced from a primary obligation to a secondary one. this means that i...

since insuring agricultural products is one of the effective instruments for risk management in agricultural sector, it can reduce risk avoidance among farmers and increase their competence in using production factors and, consequently, increases their inclination towards investment in agricultural sectors. the purpose of the current study was to investigate the factors influencing policyholder...

Since insuring agricultural products is one of the effective instruments for risk management in agricultural sector, it can reduce risk avoidance among farmers and increase their competence in using production factors and, consequently, increases their inclination towards investment in agricultural sectors. The purpose of the current study was to investigate the factors influencing policyholder...

Readers may make verbatim copies of this document for non-commercial purposes by any means, provided that this copyright notice appears on all such copies. ABSTRACT This article examines the extent to which actual crop insurance indemnification behavior conforms to the theoretical predictions of two ex post moral hazard models – costly state verification and costly state falsification. A nonpar...