Farmers’ Demand for Informal Risk Management Strategy and Weather Index Insurance: Evidence from China

Abstract In the absence of formal risk management strategies, agricultural production in China is highly vulnerable to climate change. this study, field experiments were conducted with 344 households Heilongjiang (Northeast China) and Jiangsu (East Provinces. Probit logistic models independent sample T -test used explore farmers’ demand for weather index insurance, contrast informal main factors that affect demand. The results show farmers prefer insurance characteristics have significant impacts on their adoption strategies. variables non-agricultural labor ratio, perception, education, purchase experience significantly regression influencing two provinces are different. Farmers Province a higher participation rate than those Province. government should conduct more pilot programs help understand mechanism, companies provide types meet diversified needs.