Impacts of credit disability insurance on rural credit market development in China--Conceptual Frame

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  The main purpose of credit disability insurance is to help farmers who have accidental injury to repay the loan to Rural Credit Cooperatives.So borrowers accidental injury insurance can promote credit supply of Rural Credit Cooperatives.From the survey in J province, we found the main purpose of Rural Credit Cooperatives is to add intermediate business revenue and is not to reduce the risk of borrowers through insurance.Besides, the main risk of farmers is nature risk and market risk.Accidental injury is not the main risk of farmers.So the conclusion of this paper is that the implementation of borrowers accidental injury insurance can not promote credit supply of Rural Credit Cooperatives.The suggestion is to build comprehensive agricultural insurance system to promote credit supply of Rural Credit Cooperatives.
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