NEWS
Marcia Zarley Taylor DTN Executive Editor
Thu Apr 11, 2013 05:02 PM CDT


More Haircuts for Crop Insurance

President Obama's proposed 2014 budget released this week outlines five potential cuts in crop insurance subsidies. Altogether they'd trim an estimated $11.7 billion from crop insurance's federal budget over 10 years, with some targeted at raising the cost of producer premiums and others raising administrative costs of private insurers.

Former Risk Management Agency Administrator Ken Ackerman believes the moves "aim directly at farmers, sharply raising out-of-pocket costs for buying protection." In particular, revenue-based products with harvest price options could become much more expensive, if the changes are enacted.

"Congress will have to agree ...

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