Insurance industry on El Nino watch. The U.S. Climate Prediction Center (CPC), a government agency that provides weather information to the insurance industry and others, has raised concerns that El Nino may make a strong return to the Northern Hemisphere later this year. The weather phenomenon is notorious for the number of natural disasters it spawns throughout the Northern Hemisphere. El Nino brings an increase in rainfall and changes to temperature and wind patterns in some parts of the world. The CPC notes that El Nino could have a disastrous…
Read MoreTag: crop insurance
Lawmakers clash with Obama administration over the matter of crop insurance
Federal legislators representing various agriculture committees in Congress have rejected the cuts to crop insurance President Obama unveiled in his budget plan this week. The plan looks to cut $8 billion in funding for crop insurance throughout the country. Legislators claim that this would be a major blow to many farmers, especially those in areas that are prone to seeing natural disasters. The Obama administration is keen to make cuts to crop insurance because it claims that some farmers are abusing the system, as they will be paid for their…
Read MoreHawaii’s volcanic gases spur renewed disaster declaration for the agriculture industry
The U.S. department of Agriculture has renewed a disaster claim for Hawaii regarding lingering volcanic gasses that are causing damage to agriculture. The state is well known for its many volcanoes, which have become an attraction for tourists around the world. While the volcanoes are famously beautiful and awe inspiring, they are also the source of dangerous emissions that can kill plant life and cause serious health problems. The renewed disaster declaration concerns gasses coming from Kilauea Volcano, which began spewing fumes late last year. The declaration will allow farmers…
Read MoreRisk Management Agency pushes back deadline on crop termination, giving farmers more flexibility with their insurance coverage
The U.S. Department of Agriculture’s Risk Management Agency has announced that farmers will have more time to ensure that their crops are properly insured after an uncommonly wet spring last year. Farmers are required to terminate their cover crops in order to obtain insurance coverage for their main crops. The original deadline for this termination was scheduled for May 15 of this year. The Risk Management Agency has pushed that back to June 5. Farmers will be required to terminate their cover crops regardless of their stage of growth by…
Read MoreFederal crop insurance program hinders organic farm growth
Though there has been an increase in consumer demand for consumer foods, some producers are finding that the federal crop insurance program – which was created to assist farmers – is hindering their ability to expand. This, according to Matt McLean, the founder of Uncle Matt’s Organic Inc, which has become the largest organic citrus producer in Florida, after having started in 1999 with only 5 acres of oranges. The reason that McLean and other farmers are making this claim is that organic producers are required to pay a surcharge…
Read MoreImportance of crop insurance highlighted at the 26th Annual Corn Growers Association meeting
As farmers from all over the country convened over the weekend to attend the 26th Annual Corn Growers Association in Sioux Falls, South Dakota, crop insurance was on everyone’s mind. With 2011 being recognized as a record breaking year in terms of natural disasters, and the persistent problems spawned from a turbulent climate, farmers throughout the country have been facing significant difficulties with keeping their crops alive. As crops are lost, farmers lose their ability to make a living. Most farmers receive money from the government, but this money is…
Read MoreUnderstanding the insurance overlaps among crop, ACRE, and SURE coverage
A report has been released by economists from the United States Department of Agriculture (USDA) on the topic of overlaps by the various farm safety net programs, investigating the possibility for fraud by those crossovers, but determined that there was very little evidence of its occurrence. However, the hope is that the new Farm Bill will divide the programs in a way that will minimize the potential of overlaps in the future. One of the best examples of farm program complexity is ACRE. The low participation in the program is…
Read More