INDEMNITY PAYMENTS IN AGRICULTURAL INSURANCE: RISK EXPOSURE OF EU STATES


Yildirak K., GÜLSEVEN O.

ACTUAL PROBLEMS OF ECONOMICS, ss.381-388, 2012 (SSCI İndekslerine Giren Dergi)

  • Basım Tarihi: 2012
  • Dergi Adı: ACTUAL PROBLEMS OF ECONOMICS
  • Sayfa Sayısı: ss.381-388

Özet

This study estimates the risk contributions of individual European countries regarding the indemnity payments in agricultural insurance. We model the total risk exposure as an insurance portfolio where each country is unique in terms of its risk characteristics. The data has been collected from the recent surveys conducted by the European Commission and the World Bank. Farm Accountancy Data Network is used as well. 22 out of 26 member states are included in the study. The results suggest that the Euro-Mediterranean countries are the major risk contributors. These countries not only have the highest expected loss but also high volatility of indemnity payments. Nordic countries have the lowest indemnity payments and risk exposure.