Determining Effective Factors on Demand for Rural Livestock Insurance (Case study: Marand Township)

Agricultural insurance is the most important strategies to achieve to security of income and stability of production. This study investigates factors affecting adoption of livestock insurance in rural areas of Marand township، using Logit model. Data and information required for this study are collected using cluster sampling and questionnaires completed by 150 farmers in year 2013. Results show that 48 percent of dairy farmers are not willing to insure their livestock because of low rates of compensation، and long time high premium compensation. Logit model analysis showed that age، education level، income، number of animals، the level of awareness of the benefits، non-related job and credit facilities were among factors affecting acceptance of insurance; and all of them except age and non-related job had a positive effect on the adoption of insurance. So، informing dairy farmers about benefits of insurance may improve the acceptance of it.