Modeling of a System Dynamics of Fisherman Insurance Demand in Malang District

Fisherman Insurance Premium Assistance is applied to all coastal areas in Indonesia. In Malang Regency, it just started in 2016 through JASINDO, so many fishermen still do not fully understand the benefits against possible risks. Therefore, it is necessary to study the dynamics of the fisherman insurance system focusing on producing a model of insurance demand and the projection of the demand and growth of fisherman insurance in the future. The method used in this research was a series of system dynamics modeling. The results of the validity test in this study indicate the mean comparison and error variance is the following: fisherman insurance program = 4.8% and 6.01%; fishermen’s value = 4.0% and 21.55% and premium assistance = 3.9% and 12.17%. Moreover, the structural and parametric scenario analysis results show the average value of the increase in tourists: Scenario 1 - Structural: Premium assistance = 602 fishermen, Scenario 2 - Structural: 394 fishermen, Parametric Scenario 1 - Optimistic = 578 fishermen, Parametric Scenario 2 - Most Likely = 289 fishermen, and Parametric Scenario 3 - Pessimistic = 201 fishermen. However, the projection of the demand for fisherman insurance in 2021-2029 has not shown the expected results. The largest number of demands is 421 and the smallest is 321 in 2026. Moreover, after several simulations, the study found the most possible simulation to be carried out and to have a significant, stable effect on the results desired by the government, which is through premium assistance. If at least insurance premium assistance of Rp. 118,000x109 can be given annually, it will be able to generate a fisherman insurance demand at a minimum of 500.

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Farmers’ Willingness To Pay For Livestock Insurance Programs In Kulon Progo District

Agro Ekonomi ◽

10.22146/ae.59175 ◽

2021 ◽

Vol 32 (1) ◽

Author(s):

Tri Kurniaty ◽

Masyhuri Masyhuri ◽

Jamhari Jamhari

Keyword(s):

Linear Regression ◽

Willingness To Pay ◽

Multiple Linear Regression ◽

Insurance Premium ◽

Variable Number ◽

Primary Data ◽

Average Value ◽

Location Determination ◽

Insurance Program ◽

The Government

Livestock Insurance is one of the insurance products supported by the government with PT Jasindo as the organizer. Livestock insurance will provide the potential for cattle ranchers who can get risk threats such as cattle deaths due to illness, accidents, losses caused by theft, and deaths due to breeding. This study aims to determine the value of the willingness of farmers to pay the insurance and the factors that affect the willingness of farmers to pay insurance. This research was conducted from February to March 2020 in the Kulon Progo district. Location determination is done by purposive sampling based on data from the farmer following the insurance program. Primary data obtained from 53 farmers with the help of a questionnaire and analyzed by the method of contingency value (CVM) and multiple linear regression. The research shows the average value of willingness to pay insurance is IDR45,660 per head per year above the value of the insurance premium assessment. Factors that significantly influence a Farmer's Willingness to Pay (WTP) for the Insurance program are the variable number of family dependants and income, while the age, duration of raising, and education have no significant effect. Based on the value of the EWTP obtained, which is very low, the expectation of farmers is not to demand too low a price.

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