Pricing of Aquaculture Industry Microinsurance Premiums with Standard Deviation Principle Approach (Case Study: Tasikmalaya)

Aquaculture is a rapidly growing industry and has enormous potential to increase the income and welfare of fish farmers. The majority of aquaculture businesses in Indonesia are small-scale cultivators, low productivity and limited business accessibility. As a result, there is an aquaculture industry that does not understand the use of aquaculture-specific financial risk management tools. Therefore, an insurance instrument is needed to manage losses that occur so as to achieve financial and income benefits, namely Micro Insurance. This study aims to calculate premium prices with a standard deviation principle approach. The data used is loss data if aquaculture cultivators do not pay in accordance with the initial capital in Tasikmalaya obtained through primary data based on the results of field surveys through questionnaires. The method of analyzing the number of event data uses the Poisson distribution, while the loss data uses the Exponential distribution. Next, calculate the parameter estimation using the Maximum Likelihood Estimation method. The results of parameter estimation are used to find a collective risk model. From the calculation results in this study, a premium price of IDR  was obtained.