Role of Socio-Economic Variables on Adoption of Crop Insurance Schemes

8 Pages Posted: 13 Oct 2017

See all articles by Mrinali Kumari

Mrinali Kumari

Dr Rajendra Prasad Central Agricultural University - Department of Agricultural Economics

Krishna M. Singh

Dr. Rajendra Prasad Central Agricultural University

Rewati Mishra

Dr Rajendra Prasad Central Agricultural University - Department of Agricultural Economics

D. Sinha

Dr Rajendra Prasad Central Agricultural University

Nasim Ahmad

Dr. Rajendra Prasad Central Agricultural University

Date Written: October 13, 2017

Abstract

The study examines the influence of the respondents’ socio-economic characteristics on their adoption of crop insurance schemes. Discriminant analysis based on the criteria values of standardized canonical coefficient, correlation matrix identified that educational level, farm size, satisfaction level, awareness and institutional source of credit were positive discriminators while negative coefficients were obtained for age, income level and number of earning members. Awareness about crop insurance scheme, satisfaction level of farmer respondent with respect to the insurance scheme and provision of credit wise institutional source were the highest discriminant variables. The study made it amply clear that socio-economic characteristics of farmers exert a significant influence on their adoption of crop insurance schemes. Taking into cognizance the findings of the discriminant analysis it can be concluded that awareness about the schemes and their benefits have to be created among the farmers in order to motivate them to go for insurance of their crops.

Keywords: Crop Insurance, Adoption, Discriminant function, Bihar

JEL Classification: O12, O13, Q13, Q14, Q18

Suggested Citation

Kumari, Mrinali and Singh, Krishna M. and Mishra, Rewati and Sinha, Dhruv and Ahmad, Nasim, Role of Socio-Economic Variables on Adoption of Crop Insurance Schemes (October 13, 2017). Available at SSRN: https://ssrn.com/abstract=3052120 or http://dx.doi.org/10.2139/ssrn.3052120

Mrinali Kumari

Dr Rajendra Prasad Central Agricultural University - Department of Agricultural Economics ( email )

India

Krishna M. Singh (Contact Author)

Dr. Rajendra Prasad Central Agricultural University ( email )

Pusa
Samastipur
Pusa-Samastipur, Bihar, Bihar 848125
India
+91-9431060157 (Phone)
+91-6274-240251 (Fax)

HOME PAGE: http://www.rpcau.ac.in/

Rewati Mishra

Dr Rajendra Prasad Central Agricultural University - Department of Agricultural Economics ( email )

India

Dhruv Sinha

Dr Rajendra Prasad Central Agricultural University ( email )

Samastipur, Pusa
Samastipur
Bihar, Bihar 848125
India

Nasim Ahmad

Dr. Rajendra Prasad Central Agricultural University ( email )

Pusa
Samastipur
Bihar 848125
India

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