scholarly journals Post-Adversities Recovery and Profitability: The Case of Italian Farmers

2019 ◽  
Vol 16 (17) ◽  
pp. 3189 ◽  
Author(s):  
Donatella Porrini ◽  
Giulio Fusco ◽  
Pier Paolo Miglietta
Keyword(s):  
Risk Management ◽  
Agricultural Policy ◽  
Crop Insurance ◽  
Public Support ◽  
Management Policy ◽  
Insurance Companies ◽  
Italian Case ◽  
Positive Effect ◽  
Different Levels ◽  
Natural Calamity

Insurance represents one of the main instruments, together with other risk management mechanisms, to face the adverse effects produced by natural calamity that, despite their growing intensity and the enormous costs, are still perceived as “exceptional”. Risk management is an important part of farming, and it is a concern for those governments which aim at achieving their agricultural policy targets. In this context, crop insurance can also represent a financial mitigation tool for farmers to face climate change consequences. This study is focused on the Italian case analyzing the evolution of public support and its effect on risk management policy in agriculture. Our research, based on panel data regressions, provides two different levels of analysis. The first one evaluates how the reimbursed value issued by insurance companies in favor of agricultural firms, as recovery from natural adversities, affects farmers’ profitability. The second one evaluates how the reimbursed value is used in farm management. The results of the analysis demonstrating the significance of insurance variables and their positive effect on the profitability of the farms, represent a strong advance in the farm risk management field

scholarly journals Measures of Efficiency of Agricultural Insurance in Italy, Economic Evaluations

Risks ◽  
2018 ◽  
Vol 6 (4) ◽  
pp. 126 ◽  
Author(s):  
Fabian Capitanio ◽  
Antonio De Pin
Keyword(s):  
Risk Management ◽  
Agricultural Policy ◽  
Management Policy ◽  
Insurance Companies ◽  
Economic Evaluations ◽  
Agricultural Insurance ◽  
Insurance System ◽  
Weather Patterns ◽  
Risk Assessment Models ◽  
Agrarian Policy

Risk management policy in agriculture has become particularly prominent nowadays, considering the evolution of the Common Agricultural Policy (CAP) and climate change. Moreover, the Word Trade Organization places constraints on it. In this context, (1) the aim is to analyze the causes of the loss of effectiveness of the Italian insurance system, unable to deal with the specific coverage demand from agriculture. (2) The analysis is carried out through the economic evaluation of convenience in adhering to the instruments offered by the insurance market to winegrowers in the Controlled and Guaranteed Denomination of Origin (DOCG) area of Conegliano-Valdobbiadene. (3) The study highlights that the subsidized coverage alone is not the most adequate measure of agricultural policy. Adhering to preferential programs implies the drafting of a supplementary insurance policy to minimize the loss function. (4) The current insurance system impasse demonstrates that the producer hardly accepts to policies which do not convert into an immediate income benefit. The European risk management regulation confirms its limits in terms of usefulness and efficiency of the agrarian policy. (5) The prediction of probabilistic increase of severe-weather patterns makes the search for innovative risk assessment models more urgent, models which can combine the different needs of stakeholders: farmers, insurance companies, and society.

scholarly journals The potential positive effects of captive insurance companies on efficiency and moral hazard within a group of companies

2016 ◽  
Vol 13 (2) ◽  
pp. 487-493
Author(s):  
Wim Weterings
Keyword(s):  
Risk Management ◽  
Moral Hazard ◽  
Positive Influence ◽  
Parent Company ◽  
Management Policy ◽  
Insurance Companies ◽  
Alternative Form ◽  
Direct Writing ◽  
Positive Effects ◽  
European Insurance

Captive insurance companies are ‘in-house’ (re)insurance companies formed with the specific objective of insuring the risks of their parent company and/or its affiliated companies. This alternative form of risk management is potentially or in fact an efficient means through which large listed or a group of companies other companies or a group of companies can protect themselves financially. In the process, the parent company has more control over how risks are insured and claims are managed. The parent company also has more insight into and is able to exercise more influence on the behaviour of the insured companies and their affiliates and therefore on the insured risks, as a result of which moral hazard is lower. There’s also a positive influence on the problem of adverse selection. Insurance law and regulatory legislation, to which captives are also subject, also play an important role in the mitigation of moral hazard. An insurance captive can have important efficiency effects, but is not suitable for every company. The company to be insured must have sufficient financial buffers and a serious premium volume for a captive to be able to increase the prosperity of a company. The start-up costs are high, there are operational costs and the captive must comply with the same regulatory and financial requirements as regular insurance or reinsurance companies. European insurance regulatory legislation is very strict for direct writing captives, but this does benefit the quality of the captives and the risk management policy pursued and prevents captives from being misused.

scholarly journals Safety Nets or Trampolines? Federal Crop Insurance, Disaster Assistance, and the Farm Bill

2008 ◽  
Vol 40 (2) ◽  
pp. 415-429 ◽  
Author(s):  
Barry K. Goodwin ◽  
Roderick M. Rejesus
Keyword(s):  
Risk Management ◽  
Inverse Relationship ◽  
Crop Insurance ◽  
Management Policy ◽  
Safety Nets ◽  
Farm Bill ◽  
Disaster Assistance ◽  
Revenue Insurance ◽  
Legislative Proposals ◽  
Changes In Risk

We review the implications of the 2007 Farm Bill for the risk management dimensions of U.S. agriculture and policy. Legislative proposals suggest significant changes in risk management policy, including the introduction of state or national revenue insurance. We also pursue an empirical analysis of the interrelationships of crop insurance, disaster relief, and farm profitability. We find an inverse relationship between disaster assistance and insurance purchases. Our analysis also suggests that farmers that buy insurance and that receive disaster payments tend to have higher returns to farming.

scholarly journals AGRICULTURAL INSURANCE IN ESTONIA – CURRENT SITUATION AND FARMERS’ WILLINGNESS TO USE CROP INSURANCE

2016 ◽  
Vol 10 (1) ◽  
pp. 122-128 ◽  
Author(s):  
Maire Nurmet ◽  
Katrin Lemsalu ◽  
Anne Põder
Keyword(s):  
Risk Management ◽  
Risk Sharing ◽  
Crop Insurance ◽  
Insurance Companies ◽  
Management Tool ◽  
Agricultural Risk ◽  
Agricultural Insurance ◽  
Production Risk ◽  
Farm Survey ◽  
Willingness To Use

Farmers are strongly exposed to agricultural risks and have to adapt their strategies to the new uncertainties resulting from the changes in the EU agricultural policy. So far, risk sharing strategies in the context of production risk management have received little attention in Estonia. The aim of the paper is to examine the current availability of agricultural insurance in Estonia and the farmers’ attitudes towards insurance as a risk management tool. The analysis is based on a farm survey conducted in 2015. At first, an overview on available insurance products is given. Secondly, farmers’ interest towards insurance and the connection between farm characteristics and the interest, is studied. The results show that availability of agricultural risk management instruments is limited in Estonia. Agricultural insurance includes protection against livestock production risks provided by two insurance companies, and there are no instruments for crop insurance available. The results of farm survey show that farmers’ interest towards crop-yield and crop income insurance is relatively limited. The main reasons cited by the farmers are too high insurance premiums and the lack of trust in the insurance provider honouring the insurance claim. Younger farmers were more interested in insurance.

scholarly journals Can Crop Insurance Encourage Farmers to Adopt Environmentally Friendly Agricultural Technology—The Evidence from Shandong Province in China

2021 ◽  
Vol 13 (24) ◽  
pp. 13843
Author(s):  
Tengda Wei ◽  
Ye Liu ◽  
Ke Wang ◽  
Qiao Zhang
Keyword(s):  
Crop Insurance ◽  
Environmentally Friendly ◽  
Shandong Province ◽  
Agricultural Technology ◽  
Insurance Companies ◽  
Psychological Perspective ◽  
Risk And Uncertainty ◽  
Willingness To Adopt ◽  
Willingness To Use ◽  
Positive Effect

It is critical to encourage farmers to adopt agriculture technology that is beneficial to the environment in the context of the ongoing emphasis on the ecological growth of agriculture, yet risk and uncertainty diminish the incentive to adopt these technologies. This research examines whether crop insurance might affect and increase willingness to adopt Environmentally Friendly Agricultural Technology (EFAT) from a psychological perspective, utilizing data from 219 questionnaires in Shandong Province. The findings suggest that crop insurance can boost readiness to embrace technology in three ways: motivation, ability, and opportunity; however, the positive effect of motivation on farmers diminishes as capacity increases. Insurance companies must offer products that contain the risk of adopting EFAT as an insurance obligation as soon as feasible to successfully boost willingness to use technologies and collaborate with agricultural technology departments to provide farmers with training as well as disaster avoidance services.

Effect of Financial Risk Management on the Performance of Insurance Companies in Rwanda (2015-2019)

2020 ◽  
Author(s):  
Simon Pierre NTIVUGURUZWA ◽  
Jean Bosco Ndikubwimana ◽  
Dukunde Angelique ◽  
JMV MPIRANYA ◽  
Frederic Mpambara ◽  
...  
Keyword(s):  
Risk Management ◽  
Financial Risk ◽  
Insurance Companies ◽  
Financial Risk Management

scholarly journals Systemic Risk and Insurance Regulation †

Risks ◽  
2018 ◽  
Vol 6 (3) ◽  
pp. 74 ◽  
Author(s):  
Fabiana Gómez ◽  
Jorge Ponce
Keyword(s):  
Systemic Risk ◽  
Formal Model ◽  
Public Support ◽  
Solvency Ii ◽  
Capital Requirements ◽  
Insurance Companies ◽  
Prudential Regulation ◽  
High Exposure ◽  
Insurance Firms ◽  
Low Exposure

This paper provides a rationale for the macro-prudential regulation of insurance companies, where capital requirements increase in their contribution to systemic risk. In the absence of systemic risk, the formal model in this paper predicts that optimal regulation may be implemented by capital regulation (similar to that observed in practice, e.g., Solvency II ) and by actuarially fair technical reserve. However, these instruments are not sufficient when insurance companies are exposed to systemic risk: prudential regulation should also add a systemic component to capital requirements that is non-decreasing in the firm’s exposure to systemic risk. Implementing the optimal policy implies separating insurance firms into two categories according to their exposure to systemic risk: those with relatively low exposure should be eligible for bailouts, while those with high exposure should not benefit from public support if a systemic event occurs.

scholarly journals Wheat Bread with Grape Seeds Micropowder: Impact on Dough Rheology and Bread Properties

2020 ◽  
Vol 30 (1) ◽  
pp. 138-150
Author(s):  
Veronika Valková ◽  
Hana Ďúranová ◽  
Jana Štefániková ◽  
Michal Miškeje ◽  
Marián Tokár ◽  
...  
Keyword(s):  
Wheat Flour ◽  
Dough Rheology ◽  
Wheat Bread ◽  
Grape Seeds ◽  
Rheological Analysis ◽  
First Time ◽  
Positive Effect ◽  
Bread Properties ◽  
Electronic Eye ◽  
Different Levels

AbstractThe current study was designed to enhance the functionality of white bread by replacement of wheat flour with different levels (1%, 2%, 5%, and 8%) of grape seeds micropowder (GSMP) with nanosized particles (10 µm). Chemical composition of GSMP, volume and sensory attributes, evaluated with the panel of evaluators and an electronic nose (e-nose) and an electronic eye (e-eye) were investigated in the tested breads. It has been found out that GSMP contained appreciable amounts of flavonoids including catechin, epicatechin, gallic acid and minerals especially, Ca, K and Mg. The data from rheological analysis showed that the addition of GSMP (mainly at 5% and 8% levels) to the wheat flour had a positive effect on dough manifesting with rheology by increased dough stability. The volume of the experimental breads (above 1% concentration) was demonstrably declined (P < 0.0001) in comparison with the control bread. Sensory rating revealed that the bread fortified with 1% GSMP was judged by the consumer panelists as the most acceptable with the highest scores for all quality attributes which was also confirmed by the data of e-nose and e-eye. Our results suggest for the first time that 1% GSMP addition appears to be a promising functional ingredient to improve bread with required qualitative and sensory properties.

scholarly journals Risk Management in nursing homes: an Italian experience in 2019

2020 ◽  
Vol 30 (Supplement_5) ◽  
Author(s):  
M F Furmenti ◽  
F Bert ◽  
M Rucci ◽  
U Fiandra ◽  
A Scarmozzino ◽  
...  
Keyword(s):  
Risk Management ◽  
Nursing Homes ◽  
Management Practices ◽  
Well Being ◽  
The Elderly ◽  
Management Plan ◽  
Management Policy ◽  
Insurance Company ◽  
Term Care ◽  
Starting Point

Abstract Background The ageing of the European population leads to an increasing demand for Long-Term Care services. The security and well-being of the elderly population hosted in nursing homes (NHs) needs an effective Risk Management policy, officially sanctioned in Italy by the so-called “Legge Gelli” n.24 (March 8th, 2017) and the Directive 2011/24/EU on the application of patients' rights in cross-border healthcare. In order to verify the effective application of common “best practices” in terms of Risk Management in NHs, a tool useful to analyse risk management attitudes in Northern Italy was conceived and applied in a sample of NHs. Methods The tool, developed in collaboration with the health insurance company SHAM Italia, is composed of 124 items (with a dichotomous answer -YES/NO) on topics related to various Risk Management practices. This tool was submitted in a face-to-face interview to several Directors (Health Directors or Nursing Coordinators) of NHs in the Piedmont Region. A list of randomly-chosen NHs was contacted: 4 of them were selected for the pilot study and compiled the questionnaire. Answers were gathered and analyzed through Microsoft Excel. Results Only the 25% of NHs has a Risk Management plan with objectives and indicators of effectiveness and uses Risk Analysis instruments for a pre- and post-” risk detection. Only one has employees working mainly on Risk Management alone. The 75% of the reported events were “Adverse Events”, and all the NHs (100%) have a protocol for a patient voluntary departure or for fall prevention or for bedsores prevention; while 50% have a protocol for prevention of aggressions towards operators or for patients' suicide prevention. Conclusions This work provides a starting point to face new challenges that are looming on the European Health-care Systems: the care for the elderlies needs to be perfected to reduce inefficiencies, cut useless costs and improve safety of patients in the NHs setting. Key messages Despite safety of older patients in nursing homes is not only important but mandatory in Italy, risk management tools for this setting are lacking in literature. A new tool applied in Italian nursing homes showed that risk management needs to be implemented in practice and these results can be extended to European context.

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