Western insurance has made great development in the first decade of the Grand Western Development Program.First，the quantity of insurance institution and insurance products are much richer than before.Second，premium income is growing quickly.It has exceeded part of eastern provinces in recent years.The development of the insurance industry plays important role in western economic development and lays basis for the future development of western insurance.However，there are some problems because of the late start and farmers have no strong consciousness of participating insurance：smaller scale，low depth of insurance，low density of insurance and not balance between western provinces.This paper puts forward some proposals to resolve these problems.