The Economics of Livestock Disease Insurance: Concepts, Issues and International Case Studies (Cabi Publishing)

In recent years the livestock sector has been hit by a number of high-profile diseases, such as BSE,Foot and Mouth Disease and Avian Influenza. These have had a devastating economic impact onlivestock producers and the broader livestock industry. One key response has been a growing interestin livestock disease insurance. However there is a need for greater understanding of private incentives,market impacts, and public policy perspectives on regional, national and international levels, if livestockinsurance products and complementary risk management programmes are to be developed.This book provides a balanced and broad-ranging overview of the economics of livestock diseaseinsurance. It covers both general issues and specific case studies drawn from the USA, Canada, Europeand Australia or focussing on specific issues. The book is unique in addressing this subject and willinterest readers in agricultural business and economics, veterinary science and the livestock sector. Contents 5 Contributors 7 Acknowledgments 9 PART I: INTRODUCTION 11 1 Economics of Livestock Disease Insurance – Principles, Issues and Worldwide Cases 11 2 The Role of USDA-APHIS in Livestock Disease Management within the USA 29 PART II: BUILDING A LIVESTOCK INSURANCE PROGRAMME 39 3 The Role of Public Policy in Controlling Animal Disease 39 4 Incentive Compatibility in Risk Management of Contagious Livestock Diseases 49 5 Insurability Conditions and Livestock Disease Insurance 63 6 Issues Associated with US Livestock Disease Compensation in the 21st Century 78 7 Conceptual Issues in Livestock Insurance 92 8 Data Requirements for Domestic Livestock Insurance 111 PART III: THE INTERNATIONAL MARKETPLACE AND CASE STUDIES 125 9 Public and Private Schemes Indemnifying Epidemic Livestock Losses in the European Union: a Review 125 10 Designing Epidemic Livestock Insurance 136 11 The German System of Compensating Animal Keepers in Cases of Outbreaks of Animal Diseases 151 12 Managing the Risks and Impacts of Animal Diseases in the Australian Livestock Sector 155 13 Livestock Industry Insurance: Canada 168 14 The Current State of US Federally Supported Livestock Insurance 174 15 Livestock Disease Eradication Programmes and Farm Incentives: the Case of Bovine Tuberculosis 191 16 Economic Impacts of Eradicating Scrapie, Ovine Progressive Pneumonia and Johne's Disease on US Sheep, Lamb, Sheep Meat and Lamb Meat Markets 203 17 Understanding Broader Economic Effects of Livestock Insurance and Health Management: Impacts of Disease Outbreak on Allied Industries 217 18 US Livestock Industry's Views on Livestock Disease Insurance 232 19 Modelling the Impact of Compulsory Foot and Mouth Disease Insurance in the European Union 243 20 Investigating the Feasibility of Livestock Disease Insurance: a Case Study in US Aquaculture 262 Index 282 A 282 B 282 C 282 D 282 E 282 F 282 G 282 H 283 I 283 J 283 L 283 M 283 N 283 O 283 P 283 Q 284 R 284 S 284 T 284 U 284 V 284 In recent years the livestock sector has been hit by a number of high-profile diseases, such as BSE, Foot and Mouth Disease and Avian Influenza. These have had a devastating economic impact on livestock producers and the broader livestock industry. One key response has been a growing interest in livestock disease insurance. However there is a need for greater understanding of private incentives, market impacts, and public policy perspectives on regional, national and international levels, if livestock insurance products and complimentary risk management programs are to be developed. This book