Build an Agricultural Business Ecosystem For Agricultural Insurance

Abstract

Agriculture is the main source of income for rural communities in many developing countries such as
Indonesia. Agriculture represents 15% of the Gross Domestic Product and employs nearly 38 million
workers, most of whom are small farmers. Thus, improving the condition of farmers will reduce the level
of poverty. Rice Crop Insurance is one of the Government's programs to support farmers, farmers can still
immediately replant their land from the payment of benefits paid by the Insurer and do not experience
financial shocks due to by unwanted events. The current pattern of agriculture in Indonesia are traditional
pattern so that natural factors are very influential, agricultural machinery and capital financial is limited.
The location of the research was carried out at the Asuransi Jasindo Purwokerto Branch Office. This
research is an exploratory descriptive research because this research aims to explore various problems or
questions that become the focus of a research activity. This research involves Asuransi Jasindo, farmers
group, Unit Pelaksana Jasa Alsintan and Bank BNI as a financial institution. Learning from the experiences
of other developing countries, the success of most insurance projects lies in the combination of insurance
with other services, such as loans, in-kind seed payments, and government programs that improve soil
conditions and infrastructure. So that the existence of agricultural insurance can change the behavior of
farmers by reducing uncertainty, allowing farmers to get profitable crops and then becoming a catalyst,
because lenders are more likely to provide credit to farmers who are protected by insurance.
Keywords: Agricultural insurance; agricultural ecosystem; insurance marketing; insurance marketing
strategy