Design of Products for Winter Wheat Agro-Meteorological Index Insurance in Jiangsu Province

Agro-meteorological index insurance is an innovative agricultural insurance product that has solved problems of conventional agricultural insurances including excessive cost and moral hazard. Agro-meteorological index insurance has become an effective agricultural insurance scheme. This paper primarily uses meteorological data and winter wheat yield data in the Jiangsu Province for the last 35 years to build a yield loss model based on which we designed an agro-meteorological index. Using production data and the experience rate method, we calculate pure premium rates for winter wheat in different cities for different deductible amounts. According to the calculation results, we divided the Jiangsu Province into three regions with different deductible amounts and determined pure premium rates and pure premiums for each city, thereby completing the design of a winter wheat meteorological index insurance product. Our study designed specific insurance products for different areas; it has a good guiding significance for the agricultural insurance in Jiangsu province research.