Regional State-Supported Agricultural Insurance Development in Context of Global Transformations

Improving the competitiveness of the country and regions' agriculture is a solution to the problems of its further development. It should be noted that a sustainable and stable development of agriculture can be achieved only through the government support measures implementation. Insurance premiums State subsidization is the financial instrument, which does not contradict the World Trade Organization requirements. At present, the State-supported agricultural insurance conditions do not provide adequate interest among agricultural producers. The article is devoted to consideration of major aspects of agricultural insurance in the context of global transformations. We determined the reducing demand for State-supported agricultural insurance and made an attempt to systematize the causes behind this phenomenon. The study of indicators of agricultural insurance in the Volgograd region was carried out using time series analysis. Special attention is given to a new instrument in agricultural insurance such as a "unified" subsidy. The result of destabilizing conditions in the organization of the system of agricultural insurance in the context of granting subsidies was a radical deterioration in the market. The unadapted subsidy system has resulted in substantial agricultural insurance volumes fall. The main problems in the allocation of subsidies from the federal budget to the regions are identified. We have considered a plausible course of agricultural insurance development.