The Relationship between the Knowledge Level of Farmers and the Effectiveness of the Rice-Farming Business Insurance Program (AUTP) in Pinrang Regency, South Sulawesi, Indonesia

Several government policies have been made to overcome the risk of crop failure losses that threaten
farmers every planting season. An example is the rice-farming business insurance program (AUTP)
which still has problems in its implementation, especially at the farmer level. Therefore, this study
aims to describe the implementation of the AUTP program and examine the relationship between
farmers’ knowledge levels and the effectiveness of the program in Pinrang Regency. This is a
quantitative-correlational study conducted using a questionnaire as the main instrument. The samples
were farmers selected using the proportionate random sampling method, while data were analyzed
using the descriptive analysis and Spearman Rank correlation. The results showed that the majority
of the farmers’ knowledge was in the category of “do not know” and “not sure know” about the AUTP
program. Meanwhile, the implementation of the AUTP program was in the “less effective” category,
as indicated by the decreasing participation or being limited to only during the planting season. This
implies that there is a significant relationship between farmers’ knowledge level and the effectiveness
of implementing the AUTP program.