Lopamudra Mohapatra, R K Dhaliwal and Manmeet Kaur
Agricultural insurance is one method by which farmers can stabilize farm income and investment and guard against disastrous effect of losses due to natural hazards or low market prices. The basic principle of Agricultural Insurance are that the loss incurred by the few farmers is shared by many in an area and losses incurred in bad years are compensated from resources accumulated in good years. Managing agricultural risk is an important ingredient of our development process. The idea is to encourage farmers to adopt improved farming technology and agricultural practices which, though with potential of higher return could be riskier. Keeping an eye on such vital role of Agricultural Insurance the above said study has been planned to test the knowledge of farmers regarding Agriculture and Livestock Insurance Scheme which shall enable to know the abilities of the farming community that can be instrumental in providing feedback into the demand and supply system of the agriculture. The variable â€œknowledgeâ€ in the study has been operationally defined as the understanding or the familiarity gained through experience by the farmers about the Agricultural Insurance Scheme. It has been measured by preparing an appropriate knowledge test including the items related to various aspects of insurance schemes. A total of 224 insured farmers list was collected from both public and private sector insurance companies, being selected as respondents for the study. About 38.00% of the respondents had medium level of knowledge about the livestock insurance scheme. Where as equal percentage of the respondents (31.00%) had low and high level of knowledge. Majority of the respondents have low level of knowledge (65.32%) about the Weather Insurance Scheme where as 19.35 per cent of respondents had high level of knowledge. Only 15.32 per cent of the respondents had medium level of knowledge about the weather insurance scheme. There was no relatioship between the socio personal characteristics and the knowledge level of the respondents for both the weather and livestock insurance availing farmers.
Keyword: Agricultural Insurance; Weather Insurance; Knowledge level; Risk