Ag Policy Blog
Chris Clayton DTN Ag Policy Editor

Thursday 02/06/14

Crop Insurance Provisions in the New Farm Bill
A few people have commented that they didn't know exactly what the farm bill did in crop insurance. There is perception that crop insurance takes a cut. That's actually the opposite of what happened in crop-insurance programs. For the most part, those programs and options for producers are propped up. The final bill also does not include any income means testing for crop insurance premium subsidies despite the initial language in the Senate version of the bill.[Read Full Blog Post]
Posted at 6:03PM CST 02/06/14 by Chris Clayton | Post a Comment
Comments (3)
Chris: Does your statement on Organic imply that prices for organic products must be based on their production costs?
Posted by tom vogel at 6:56PM CST 02/08/14
No, but it is meant to create more standard indemnity claims for organics because you don't have those posted national prices like you do with commodities.
Posted by CHRIS CLAYTON at 2:27PM CST 02/10/14
Will the insurance companies that are offering crop insurance, many multi-insurance companies have gone strictly crop insurance so there must be money to be made, be held accountable to the bill and the farmer when claims are settled? Getting less than one tenth revenue for a total crop loss, all things being equal, highest coverage available, does not pay the associated crop bills. It now takes more than a couple good years to make up for one bad year. Crop insurance has been touted as a risk management tool; for us in fruit and grain, it has not. It is better than nothing, but not near what it should be.
Posted by Sharon Schmuhl at 11:10AM CST 02/11/14
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