Agriculture Insurance and Farmers Performance in Rwanda, A Case of National Agriculture Insurance Project

The general objective of the study was to investigate the effect of agriculture insurance on farmers’ performance in Rwanda, a case of National Agriculture Insurance Project (NAIP). Specifically, the study examined farm production of insured famers before and after joining NAIP, assess farm income of insured famers before and after joining NAIP and evaluate savings level of insured famers before and after joining NAIP. The researcher conducted both descriptive and correlational studies. The study population was 241 farmers as cooperatives representative in NAIP. A sample size of 150 respondents was determined by the help of Solvin formula. The study used simple random sampling in selecting the respondents in the study. The study applied the following tools of data collection; questionnaire and documentary technique. The researcher adopted the descriptive and correlation analysis computed by Statistical Package for Social Sciences version 21. The study utilized multiple linear regression analysis to make inferences for the survey. After collecting data, the following results were obtained. Farm production correlated with farmers performance at positive strong correlation of r=0.935. Further, on farm income of insured famers before and after joining NAIP, the results showed that 18% and 29.3% showed very great extent and great extent respectively that monthly income has been increased,34.7% revealed that moderate extent. On the other hand, the person coefficient correlation showed that there is strongly positive correlation of 89.6% between farm income and farmers performance. The study concluded that farm production, income and savings level increased extremely after farmers joined NAIP. The study recommended that Agriculture agencies should encourage youths to invest in agriculture industry as the way of increasing agriculture productivity. Keywords: Agriculture Insurance, Performance, Productivity