Actuarial Effects of Unit Structure in the U.S. Actual Production History Crop Insurance Program

Posted: 11 Sep 2000

See all articles by Thomas O. Knight

Thomas O. Knight

Texas A&M University - Department of Agricultural Economics

Keith H. Coble

Mississippi State University - Department of Agricultural Economics

Abstract

This paper examines the effects of optimal subdivision on APHP losses for wheat, corn, and soybeans. Thirty-seven state/crop programs are analyzed and the implications of the results are discussed in relation to newly developed crop and revenue insurance programs. The authors' results illustrate the importance of incorporating actuarial experience into the premium rate structure and contract provisions of an insurance program.

Keywords: Actual Production History Program (Aphp), Crop Insurance Programs.

JEL Classification: Q18

Suggested Citation

Knight, Thomas O. and Coble, Keith H., Actuarial Effects of Unit Structure in the U.S. Actual Production History Crop Insurance Program. Available at SSRN: https://ssrn.com/abstract=237101

Thomas O. Knight (Contact Author)

Texas A&M University - Department of Agricultural Economics ( email )

College Station, TX 77843-4218
United States
409-845-1192 (Phone)
409-862-1563 (Fax)

Keith H. Coble

Mississippi State University - Department of Agricultural Economics ( email )

Box 5187
Mississippi State, MS 39762
United States

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