Agricultural Insurance (eBook)

Front Cover 1
Agricultural Insurance: Principles and Organization and Application to Developing Countries 4
Copyright Page 5
Table of Contents 6
PREFACE 12
FOREWORD 16
LIST OF ILLUSTRATIONS 18
LIST OF ABBREVIATIONS USED 20
PART I: AGRICULTURAL RISKS AND THEIR INSURABILITY 22
CHAPTER 1. RISKS IN AGRICULTURE 24
Risks to Agricultural Property 24
Personal Risks in Agriculture 32
Graphic Presentation of Agricultural Risks 34
CHAPTER 2. DIFFERENT WAYS OF MEETING AGRICULTURAL RISKS 35
Avoidance 35
Prevention 35
Assumption 36
CHAPTER 3. INSURABILITY OF AGRICULTURAL RISKS 39
Nature and Function of Insurance 39
Factors Determining Insurability of Risks 41
Insurability of Agricultural Risks 42
PART II: CROP INSURANCE 48
CHAPTER 4. OBJECT AND TYPES OF CROP INSURANCE 50
Object of Crop Insurance 50
Types of Crop Insurance 52
CHAPTER 5. SPECIFIC HAZARD CROP INSURANCE—AGAINST HAIL 58
Nature of Contract 58
Eligibility (of Land) for and Condition of Coverage 61
Amount of Cover 62
Methods of Rating 63
Examples of Premium Rates 67
Discounts and Rebates of Premium 75
Assessment and Payment of Premiums 76
Term of Contract 78
Other Conditions 80
Procedure in case of Loss 81
Method of Loss Determination 83
Minimum Loss Clause and Loss Deductible Clause 87
Management and Reserve 90
Reinsurance 90
CHAPTER 6. COMBINED-RISK CROP INSURANCE 91
Weather-perils Crop Insurance in the United States 91
CHAPTER 7. ALL-RISK CROP INSURANCE 95
Nature of All-risk Crop Insurance 95
All-risk Crop Insurance in the United States 95
A Brief Note on Systems of Crop Insurance in Canada, Japan and Ceylon 124
PART III: LIVESTOCK INSURANCE 134
CHAPTER 8. IMPORTANCE AND FORMS OF LIVESTOCK INSURANCE 136
Importance of Livestock Insurance 136
Position of Livestock Insurance 137
Forms of Livestock Insurance 140
CHAPTER 9. INSURANCE OF LIVESTOCK—GENERAL 142
Nature of Cover 142
Selection of Risks 142
Classification of Risks 143
Basis of Valuation and Amount of Cover and Indemnity 144
Rating Methods 146
Examples of Premium Rates 147
Term and Conditions of Contract 150
Inspection of Insured Animals 152
Procedure in case of Accident or Illness 152
Transfer of Policies and Substitution of Animals 153
Forfeiture of Policy 154
Arbitration 154
Reinsurance 154
CHAPTER 10. INSURANCE OF LIVESTOCK AGAINST SPECIFIC RISKS 155
Insurance of Foaling Risks 155
Castration Insurance 157
Insurance against Anthrax 158
Insurance against Consequential Loss due to Foot-and-mouth Disease 159
Insurance against Transit and Show Risks 161
CHAPTER 11. INSURANCE OF SLAUGHTER STOCK 163
PART IV: FARM PROPERTY AND FARM ENGINEERING INSURANCE 166
CHAPTER 12. FARM FIRE INSURANCE 168
Introduction 168
Farm Fire Insurance in the United Kingdom 170
Mutual Farm Fire Insurance in the United States 180
CHAPTER 13. AGRICULTURAL VEHICLES AND ENGINEERING INSURANCE 197
Insurance of Agricultural and Forestry Vehicles 197
Agricultural Engineering Insurance 200
PART V: PERSONAL AND LIABILITY INSURANCE FOR FARMERS 204
CHAPTER 14. PERSONAL ACCIDENT AND SICKNESS INSURANCE FOR FARM PEOPLE 206
Development and Object 206
Great Britain 207
United States 213
CHAPTER 15. FARMERS' LIABILITY INSURANCE 217
Nature of Farmer-employers' Liabilities 217
Employers' Liability Insurance 221
Personal and Public Liability Insurance for Farmers 226
PART VI: AGRICULTURAL INSURANCE ORGANIZATION 230
CHAPTER 16. PRIVATE INSURANCE ORGANIZATIONS 232
Principal Types of Insurance Organization 232
Joint-stock Insurance Companies 233
Mutual and Co-operative Insurance Societies 234
CHAPTER 17. PUBLIC INSURANCE 246
Forms of Public Insurance 246
Advantages and Disadvantages of Public Insurance 250
PART VII: SOME BASIC CONSIDERATIONS 256
CHAPTER 18. ACTUARIAL CONSIDERATION OF AGRICULTURAL RISKS 258
Specialized Agricultural Risks 258
Non-specialized Agricultural Risks 284
CHAPTER 19. REINSURANCE 291
Definition and Benefit 291
Reinsurance Methods 292
Reinsurance Organizations 298
Problems and Possibilities of International Reinsurance of National Systems 300
Some Suggestions as to Reinsurance of National Crop Insurance 303
Conclusion 306
CHAPTER 20. AGRICULTURAL INSURANCE IN NEWLY DEVELOPING COUNTRIES 307
Crop Insurance 307
Livestock Insurance 317
Prospects and Possibilities 322
APPENDICS 325
APPENDIX I: SUPPLEMENT TO THE TEXT 325
Summary of Loss-adjustment Process of the Alberta Hail Insurance Board, Canada 325
APPENDIX II: SUPPLEMENTARY TABLES 330
APPENDIX III: SAMPLES OF SELECT FORMS 336
(a) CHIAA Standard Crop-Hail Application 338
(b) CHIAA Standard Crop-Hail Policy 339
(c) Application for Weather-perils Crop Insurance (CHIAA) 343
(d) U.S. FCIC County Summary of Coverages and Premium Rates by Areas, 19 — 345
(e) U.S. FCIC County Actuarial Table—Wheat—1963 and succeeding Crop Years 346
(f) U.S. FCIC County Actuarial Table—Tobacco—19— and succeeding Crop Years 347
(g) U.S. FCIC Crop Insurance Acreage Report 348
(h) U.S. FCIC Application 349
(i) U.S. FCIC Application Supplement (Sharecropper and Share Tenant Interest) 350
(j) U.S. FCIC Adjuster's Worksheet for Grain 351
(k) U.S. FCIC Claim for Indemnity 352
(l) Ceylon Crop Insurance Policy 353
(m) (i) Fire Policy of the National Farmers Union Mutual Insurance Society, England and Wales (Buildings Insurance with Storm and Tempest Extension) 357
(ii) Fire Policy of the National Farmers Union Mutual Insurance Society, England and Wales (Farming Stock) 361
(n) Alabama Farm Bureau Mutual Insurance Service Inc. Standard Fire and Lightning Policy with Windstorm Endorsement and Seven-point Extended Coverage 365
(o) Texas Standard Policy, Fire and Lightning, and Farm and Ranch Form (The State Board of Insurance) 371
COMPREHENSIVE BIBLIOGRAPHY 378
INDEX 384