Determinants of Farmers’ Adoption of Agricultural Insurance: the Case of Poultry Farmers in Abeokuta Metropolis of Ogun State, Nigeria

Determinants of Farmers’ Adoption of Agricultural Insurance: the Case of Poultry Farmers in Abeokuta Metropolis of Ogun State, Nigeria

Author by Dr. Daniel Babalola

Journal/Publisher: British Journal Of Poultry Science

Volume/Edition: 3

Language: English

Pages: 36 - 41

Abstract

The study analyzed the determinants of poultry farmers’ adoption of agricultural insurance in Abeokuta metropolis of Ogun state, Nigeria. The purposive sampling technique was used to select 80 poultry farmers for the study. Data collected with the use of questionnaire were analyzed using descriptive statistics and regression analysis. The results shows that 64% of the respondents had up to tertiary education, 53% have been in poultry business for 5 to 10 years, 60% perceived high risk associated with poultry business, 71% had experienced severe risk challenges in the past, 75?rned above N100, 000 (approx. $ 625) monthly and 53% had access to credit facility. However, only 46% of the farmers were aware of the agricultural insurance policy and only 44% have adopted. Regression result showed that farmers’ adoption of agricultural insurance will increase if there is increase in formal and extension education, higher level of awareness of insurance policy, more perception and concern for past experience with risk and less indifference resulting from too much confidence in their years of experience and alternative risk management strategies. It is recommended that government and other stakeholders’ efforts should be directed towards policies and programmes that will further enhance those factors that increase farmers’ adoption of agricultural insurance.
 


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