Role of Insurance In Broiler Farms Risk Management (A Case of Rudbar County)

Agriculture sector faces risks caused by natural damaging events. So, it is necessary to predict, counteract and mitigate the risks of agricultural activities to increase investment security, to identify risks and to practice risk management methods, in which insurance has a special niche as a risk counteraction and a mitigation measure. The objective of this study was to study the role of insurance in risk management of broiler farms in the Rudbar County in Guilan, Iran. The statistical population was composed of 121 broiler chicken farms in Rubdar County. This study, done in 2013-2015, out of which 55 farms were selected as the sample according to Bartlett Table. Data were collected by interview and a questionnaire whose validity was confirmed by a panel of experts and whose reliability was estimated to be 73% by Cronbach’s alpha. Results of stepwise regression analysis showed that the main production parts affected by risk factors included hygiene and control (b=0.279), technical factors, including ventilation and temperature (b=-0.313), nutrition (b=-0.366), disease prevention (b=-0.273), chicken hatching capacity (b=0.398) and insurance (b=-0.339). Results of the test of variable correlations showed a negative, significant relationship of dependent variable (risk management) with hatching capacity, hygiene factors, technical factors, nutrition, disease prevention, and insurance. in addition, risk management was found to have no relationship with farm managers’ age and farming experience.