Minding Ag's Business
Marcia Zarley Taylor DTN Executive Editor

Wednesday 03/05/14

Why Crop Insurance Can't Fly Solo
In cyclical businesses like farming, what goes up must come down--and it's usually market prices that adjust much faster than your cost of production. So the tailspin in commodity prices since 2012 is a poignant example of why crop insurance alone can't be the only safety net for farm income.[Read Full Blog Post]
Posted at 12:49PM CST 03/05/14 by Marcia Zarley Taylor | Post a Comment
Comments (5)
Government schemes that guarantee the largest income benefits and subsidies to those with the greatest wealth steal from smaller farmers a fair and equal opportunity to compete in ag which is exactly what the billions for millionaires farm bill does. With the trillions in deficits and trillions in national debt how do we have the money to provide multimillion dollar safety nets as well as millions in insurance subsidies to the wealthiest and largest farmers most who are multimillionaires. What more could be more pathetic than having most farmers addicted to and dependent on government farm insurance schemes? Typical insane government programs that provide the most benefits to those the least needy of any help.
Posted by T Kuster at 9:13AM CST 03/06/14
Great article Marcia! I always find it funny that whenever you write about crop insurance or any other government program, the T kusters and Bill's of the internet and whomever else they have trolling, for EWG or which ever group is offended by something farmers must have done in the past, come out in droves and all have the same type of bland comment to make referencing millionaires stealing from the poor, schemes, guaranteeing profits, etc.
Posted by Aaron Cross at 11:03AM CST 03/06/14
Crop Insurance can be a solo, stand alone program. You know how? By having farmers build in higher profit margins for themselves when they bid cash rents, farm land purchases, and when they spend money. If during the good times, farmers are making good money, they should be "saving" that profit for the times when they get tight. That is where we are at now. Just because cash flows are tipping in the red, doesn't mean we should make sure those farmers survive. This is a business and poor spending/business decisions should not get rewarded.
Posted by Pedro Sanchez at 9:01AM CDT 03/10/14
Government crop insurance as we know it has been a near total disaster. Decades of government targeting the largest farmers with the largest income/profit guarantees and insurance subsidies has stolen from smaller farmers any chance of competing in a highly competitive business. Government farm programs have decimated rural America.
Posted by T Kuster at 1:32PM CDT 03/10/14
What needs to change is the government mindlessly targeting those with the greatest probability of the greatest profitability the largest government benefits. Government financially bulletproofing and turbocharging those with the largest incomes with extreme financial benefits destroys any chances of smaller farmers to compete.
Posted by T Kuster at 5:32PM CDT 03/11/14
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