Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh

This paper investigates if climate change skepticism, farmers’ fatalistic beliefs, and insurance plan design influence interest in crop weather insurance. While studies of the influence of fatalism on disaster preparedness are common, the ways in which fatalism influences climate change skepticism,...

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Autores principales: Akter, Sonia, Krupnik, Timothy J., Khanam, Fahmida
Formato: Journal Article
Lenguaje:Inglés
Publicado: Springer 2017
Acceso en línea:https://hdl.handle.net/10568/165031
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author Akter, Sonia
Krupnik, Timothy J.
Khanam, Fahmida
author_browse Akter, Sonia
Khanam, Fahmida
Krupnik, Timothy J.
author_facet Akter, Sonia
Krupnik, Timothy J.
Khanam, Fahmida
author_sort Akter, Sonia
collection Repository of Agricultural Research Outputs (CGSpace)
description This paper investigates if climate change skepticism, farmers’ fatalistic beliefs, and insurance plan design influence interest in crop weather insurance. While studies of the influence of fatalism on disaster preparedness are common, the ways in which fatalism influences climate change skepticism, and in turn affects farmers’ interest in crop insurance, have not been previously investigated. An additional objective was to understand farmers’ preferences for index versus standard insurance options, the former entailing damage compensation based on post-hazard assessment, the latter tying damage compensation to a set of weather parameter thresholds. A discrete choice experiment was conducted with maize farmers on a climate-risk prone island in coastal Bangladesh. Most farmers were insurance averse. Those who chose insurance were however significantly more likely to select standard as opposed to index-based insurance. Insurance demand was significantly and positively correlated with farmers’ concern about the adverse livelihood impacts of climate change. Farmers who exhibited fatalistic views regarding the consequences of climate change were significantly less likely to opt for insurance of either kind. These findings imply that the prospect for farmers’ investment in insurance is conditioned by their understanding of climate change risks and the utility of adaptation, in addition to insurance scheme design
format Journal Article
id CGSpace165031
institution CGIAR Consortium
language Inglés
publishDate 2017
publishDateRange 2017
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spelling CGSpace1650312025-02-19T14:24:31Z Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh Akter, Sonia Krupnik, Timothy J. Khanam, Fahmida This paper investigates if climate change skepticism, farmers’ fatalistic beliefs, and insurance plan design influence interest in crop weather insurance. While studies of the influence of fatalism on disaster preparedness are common, the ways in which fatalism influences climate change skepticism, and in turn affects farmers’ interest in crop insurance, have not been previously investigated. An additional objective was to understand farmers’ preferences for index versus standard insurance options, the former entailing damage compensation based on post-hazard assessment, the latter tying damage compensation to a set of weather parameter thresholds. A discrete choice experiment was conducted with maize farmers on a climate-risk prone island in coastal Bangladesh. Most farmers were insurance averse. Those who chose insurance were however significantly more likely to select standard as opposed to index-based insurance. Insurance demand was significantly and positively correlated with farmers’ concern about the adverse livelihood impacts of climate change. Farmers who exhibited fatalistic views regarding the consequences of climate change were significantly less likely to opt for insurance of either kind. These findings imply that the prospect for farmers’ investment in insurance is conditioned by their understanding of climate change risks and the utility of adaptation, in addition to insurance scheme design 2017-12 2024-12-19T12:54:37Z 2024-12-19T12:54:37Z Journal Article https://hdl.handle.net/10568/165031 en Open Access Springer Akter, Sonia; Krupnik, Timothy J. and Khanam, Fahmida. 2017. Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh. Reg Environ Change, Volume 17 no. 8 p. 2455-2466
spellingShingle Akter, Sonia
Krupnik, Timothy J.
Khanam, Fahmida
Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh
title Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh
title_full Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh
title_fullStr Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh
title_full_unstemmed Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh
title_short Climate change skepticism and index versus standard crop insurance demand in coastal Bangladesh
title_sort climate change skepticism and index versus standard crop insurance demand in coastal bangladesh
url https://hdl.handle.net/10568/165031
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AT krupniktimothyj climatechangeskepticismandindexversusstandardcropinsurancedemandincoastalbangladesh
AT khanamfahmida climatechangeskepticismandindexversusstandardcropinsurancedemandincoastalbangladesh