Abstract: To enrich and improve agricultural modernization and agricultural insurance policy system in Xinjiang, accelerating the process of agricultural modernization and promoting the development of agricultural insurance simultaneously are of great significance. Based on the agricultural modernization plan and the support of agricultural insurance policy, this paper constructed an evaluation index system of Xinjiang agricultural modernization and agricultural insurance comprehensive development level by the entropy method and the integrated coordination degree model to analyze the characteristics of agricultural modernization and agricultural insurance development in Xinjiang and to examine the relationship between them. Results show that from 2001 to 2016, the level of agricultural modernization and agricultural insurance development in Xinjiang has been improved, but the level of agricultural insurance development lagged behind the development level of agricultural modernization and the gap was relatively large. The integration degree was maintained between 0.4 and 0.5, and the gap was small. The degree of coordination increased from 0.337 1 in 2001 to 0.667 8 in 2016, and the improvement was obvious. The integrated coordination level experienced four stages: mild imbalance, near-disorder, uncoordinated coordination, and primary coordination. The overall coordination level was still low, and there was still a big gap from quality coordination. Therefore, to further promote the coordinated development of agricultural modernization and agricultural insurance in Xinjiang, this paper provide the following policy recommendations: 1) adopting the “green” concepts to advance technology and to guide the sustainable development of Xinjiang’s agricultural modernization; 2) the government, enterprises, and farmers should work together to improve the development of agricultural insurance market and to increase the effective demand for agricultural insurance; and 3) integrating relevant policy packages together to achieve agricultural modernization and coordinated promotion of agricultural insurance.