Comparison of Livestock Insurance (mutual aid) use as Risk Management between Japan and South Korea

Abstract

In South Korea and Japan, the livestock insurance (mutual aid) system is an important risk management tool for farmers. South Korea’s livestock accident insurance is arguably the same as Japan’s death and abolition mutual aid; however, the primary subscription livestock of the two countries are entirely different. This study aims to clarify the status and purpose of using livestock insurance for pig farmers in South Korea and dairy farmers in Japan, who are significant subscribers of each country’s system. We visited and surveyed two pig-farming households in South Korea and used livestock insurance statistics data; livestock mutual aid statistics data were used for dairy farmers in Japan. We determined that pig farmers in South Korea use the system “insurance” to prepare for fire accidents, and dairy farmers in Japan use the system as a “subsidy.”