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Theoretical aspects of index insurance in agriculture and prospects of application in Azerbaijan

34335 ­ ­ AZ ­ ­ 36. April 2021 ­ ­­ ­ system risks traditional insurance index insurance homogeneous and local risks weather and productivity index

 

Abstract

Recently, in order to effectively manage systemic risks in the agriculture of developed and developing countries, an index-based insurance model based on weather data, which is considered an innovative insurance product, is actively used. Index insurance is considered as an alternative to the traditional insurance model and plays an important role in overcoming many problems that traditional insurance cannot solve. The article examines the essence, mechanism of operation, advantages and disadvantages of indexed insurance. Prospects for the application of the new insurance product in Azerbaijan's agriculture were analyzed on the basis of the study of world experience in the relevant field. At the same time, the problems facing the application of the index insurance model were investigated.

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AUTHORS

 

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Nazrin. Ramazanova

Master of Azerbaijan State University of Economics (UNEC)

   

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Abrehet. Mehari

Lecturer in Ethiopia Civil Service University, Ethiopia, Addis Ababa; Ph.D. candidate in Azerbaijan State University of Economics

   

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Aligulu. Mehdiyev

Ph.D. student of Baku Engineering University

   

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Najiba. Hajiyeva

Baku State University

  Doctor of Philosophy in Economics  

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Aygun. Huseynova

Baku State University

   

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Azer. Gurbanzadeh

Azerbaijan Cooperation University

  Ph.D., docent  

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Vusala. Nagiyeva

Azerbaijan Cooperation University

  Ph.D., docent  

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Zohra. Abbasova

Ph.D. student of the Agro Researches Center

   

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Saadat. Hajiyeva

Agricultural Economics Research Center, Deputy director

   

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Ramil. Aliyev

Ph.D. student of the Agricultural Research Center

   

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Akram. Hasanzada

Ph.D. student of the Agricultural Research Center

   

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Khayala. Guliyeva

Ph.D. student of the Agricultural Research Center

   

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Nargiz. Hasanova

Azerbaijan State Agrarian University

   

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Leyla. Hajiyeva

Ph.D. student of the Agricultural Economics Research Center

   

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Isak. Hasanov

Head of Shamkir Support Point

   

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Zaur. Asadov

Azerbaijan State Oil and Industrial University

  Doctor of Philosophy in Economics