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In order to increase food production, the government has made an innovation to protect farmers from the crop failure or damage risk by using the Rice Farming Insurance (AUTP) program. Agricultural insurance has been proven in many countries to successfully protect farmers from various farming risks. The presence of agricultural insurance is expected to play an important role in supporting economic activities in the agricultural sector, but unfortunately, this program has failed to run in Cinta Damai Village, Percut Sei Tuan Subdistrict, Deli Serdang District because of the farmers’ objections to paying the insurance premium. The purposes of this study were to see the actual implementation of the AUTP program and calculate the farmers’ willingness to pay (WTP) for the AUTP premium. The results of the interview were analysed and explained by the Statistical Description and then the farmers’ willingness to pay (WTP) for the AUTP premium was calculated. The results showed that the implementation of the AUTP program in Cinta Damai Village had gone well and smoothly, from the socialization to the claim settlement processes were almost completely according to the AUTP implementation guideline. The farmers’ expected average WTP (EWTP) value was 71,011 IDR/ha/growing season or 142,022 IDR/ha/year.

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Implementation of rice farming insurance to support food security and the willingness to pay (case study in Cinta Damai Village, Percut Sei Tuan Subdistrict, Deli Serdang District)