Determinants of Farmers’ Demand for Rainfall-Index Insurance: Evidence from Rural Tigray, Northern Ethiopia

Course ID
Ethiopian Economics Association (EEA)
Mehari Hiluf

In Agrarian Economies, Like Ethiopia, Rainfall Is A Major Determinant Factor Of Welfare. However, Drought Risk Has Been Frequently Resulting In Loss Of Crops. Tigray (Northern Ethiopia) Is One Among The Regions Of Ethiopia Which Have Been Highly Affected By Drought For Long Time. Since Late 2007 Oxfam-America And Other Partner Organizations Have Come Together To Launch An Innovative Climate Change Resiliency Project, Called Horn Of Africa Risk Transfer For Adaptation (Harita), In Tigray Region. Building Access To Risk Transfer Mechanisms Through Supply Of Rainfall-Index Insurance Is Among The Main Components Of The Project. Rainfall-Index Insurance Contract Has Been Supplied In Five Villages Located In Central, Southern, And Eastern Zone Of Tigray Region. Using Cross-Sectional Data From Farm Households In The Five Villages Where Rainfall-Index Insurance Has Been Supplied; This Paper Presents Empirical Evidence On Determinants Of Demand For Rainfall-Index Insurance. In This Study, Regression Analysis Has Evidenced That Factors Such As Head’s Sex, Head’s Age, Head’s Education, Risk-Aversion, Owned Farm Size, Knowledge About Rainfall-Index Insurance, Contact With Agricultural Extension Workers, Psnp Participation, And Location Have Significant Effect On Demand For Rainfall-Index Insurance

Corporate Author:Getnet Alemu & Worku Gebeyehu (Editor) & Ethiopian Economic Association/Ethiopian Economic Policy Research Institute
Publisher:Ethiopian Economic Association (EEA)
Primary Descriptors:Drought

Secondary Descriptor:Demand

Geographic Descriptors:Harita, Tigray, Northern Ethiopia
Cataloge Date:02/27/2013
Broad Subject heading:Rainfall- Index Insurance
Call Number:330.963 PRO 2012
Serial Key Title:Proceedings of the Ninth International Conference on the Ethiopian Economy
Publication catagory: International Conference
Content type: EEA Publication
Publication date:2013-06-27 23:12:00
Forum or Discussion date:2013-02-27 15:43:20
Place of publication: Addis Ababa, Ethiopia
Type of material:Book
Current frequency: Annualy
Author: Mehari Hiluf, Gebrehawaria G/Egziabher et al.

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