Agricultural insurance, defined here to include crop and livestock insurance, is an instrument of choice in many countries for helping farmers and rural communities cope with risk. This paper explores the reasons why governments and donors subsidize agricultural insurance, and asks: (a) is this...

Agricultural insurance has attracted considerable interest in recent years. Innovations in agricultural index insurance have raised expectations that the private sector can overcome shortcomings associated with more traditional indemnity-based products like multi-peril crop insurance, and...