THE IMPACT OF INSURANCE AWARENESS ON CUSTOMER BEHAVIOUR IN THE AGRICULTURAL INSURANCE MARKET

Abstract

The conduct of agricultural business is exposed to many risks, which can be mitigated in various ways. One of the solutions to minimize the risks occurring in the agricultural industry is to insure it. The main objective of the article is to determine customer behaviour in the agricultural insurance market. To the main objective, specific objectives were set to identify the respondents' possession of voluntary and compulsory agricultural insurance, to determine the level of insurance awareness of agricultural insurance buyers, and to identify the weights and types of factors influencing farmers' decisions to purchase agricultural insurance services.

The research was carried out by means of a diagnostic survey with the use of a questionnaire among farmers running their farms in the Warmian-Masurian Voivodeship and the Mazovian Voivodeship.

The voluntary agricultural insurance most often chosen by buyers is property insurance, while the mandatory agricultural insurance is agricultural buildings insurance. Nearly
a third of surveyed farmers rate their level of familiarity with agricultural insurance as good or very good. The most familiar insurances are compulsory insurance: agricultural buildings insurance and farmer's liability insurance. The biggest benefit that comes from having agricultural insurance is protection of assets and financial assistance in case of misfortune. Respondents most often sought information on the product offerings of insurers on the Internet and from insurance agents. The sum insured, a wide range of insurers and the amount of premium are the most frequently indicated determinants of the choice of agricultural insurance.