Open AccessEl nuevo seguro de ingresos de la patata: Una evaluación preliminar
Author(s) -
Julio Estavillo Dorado,
Salomón Aguado Manzanares,
María Bielza Díaz-Caneja,
Alberto Garrido Colmenero,
José Ma Sumpsi Viñas
Publication year - 2011
Publication title -
economía agraría y recursos naturales/economía agraria y recursos naturales
Language(s) - English
Resource type - Journals
eISSN - 2174-7350
pISSN - 1578-0732
DOI - 10.7201/earn.2005.09.06
Subject(s) - revenue , context (archaeology) , valuation (finance) , product (mathematics) , crop insurance , product line , agricultural science , price risk , business , agricultural economics , economics , actuarial science , welfare economics , economy , agriculture , finance , geography , engineering , futures contract , geometry , mathematics , environmental science , archaeology , manufacturing engineering
In 2003 and 2004, an insurance product that protects against market risks of agricultural commodities was offered in Spain. It consists on a revenue insurance product which has been launched as a pilot program for mid-season and late potato in five Spanish provinces (Álava, Burgos, La Rioja, León and Valladolid). The objective of this article is to describe the characteristics of this insurance product and to perform a preliminary evaluation of the seasons it was marketed. We start from a conceptual approach to the market risk management instruments, that constitute the context for the current program. Later, we explain the price model used to define market reference prices and the premia, checking the quality of the statistical price model against the potato farm-gate prices. Finally, the article ends with a preliminary valuation/ assessment of this first pilot experience in Spain, stressing those aspects which are liable/prone to be improved and reckoning the possible extensions of this insurance line to other potato varieties, provinces and also to other agricultural commodities.