Exploring the Risk Exposures of Peasant Farmers in Northern Ghana

Peasant farming is an inevitable system of farming associated with rural subsistent farming.  Be it crop, livestock or mixed farming, risk is equally inevitable right from the preparation of the farm, the cultivation through to the harvesting of the crops and its storage.  Risk on the Agriculture industry like all facets of life, is looked at in terms of the exposure of one or an operation to uncertainties of loss. This study adopted the qualitative research design.  Primary data was collected from 100 peasant farmers consisting of 20 randomly selected from five purposively sampled communities in the then Kassena Nankana Municipal.  The findings of the study are that peasantry may forever exist among rural subsistent farmers in Northern Ghana with farmers cultivating less than five acres in a season. These farmers are exposed to all sorts of risks ranging from natural, social, economic to physical risks. The farmers adopt farming methods like mono or mix cropping, mixed farming and spiritual cover from their ancestors to mitigate the impact of their losses.  There is no known scientific insurance policy available to cover their risks. Evaluating the insurability of these risks, it was found that most of the natural and physical risks can easily be covered by an insurance policy. The economic and social risk exposures although seems difficult to be cover as specific perils they could be integrated in a multiple risk policy. The insurer can be catered for the interventions of NADMO and other agencies to support disaster victims by applying the principles of Contribution and subrogation to ensure that the Insureds do not make profits on the claims. The study thus recommends the introduction of a micro insurance package for peasant farmers.