Devoted to the Insurance industry and all thing related

With my limited knowledge of farming I can’t comment too extensively on crop insurance.  However, I do know there is a great deal of risk involved in farming due to unpredictable weather.  This obvious obstacle to consistent revenue must lead many farmers to consider the possibility of purchasing a type of crop insurance.

A new “risk management tool” that insurers are offering in Kansas and most of Colorado has been set up to “insure against farm revenue fluctuations.”  The name of the federally subsidized plan is Adjusted Gross Revenue-Lite.  The program covers “almost all farm-raised crops, animals, and animal products.”

The U.S. Department of Agriculture “will pay a portions (subsidy) of the premium for the AGR-Lite policy that equals 48 percent, 55 percent, and 59 percent of the total premiums for the coverage levels of 80 percent, 75 percent, and 65 percent respectively.”  Sounds like a heck of a subsidy to me.  I wonder what the premiums on a policy like this come out to?  

 

Time is of the essence as March 15 is the deadline for turning in a new application.  If you are interested in looking into this type of coverage contact a crop insurance agent.  A list of agents can be found on this Risk Management Agency page.

If you are a crop insurance agent let us know if this product is as great as it sounds for the farmer.