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Eleven million acres added to crop insurance coverage

Sept. 19, 2013 | 0 comments

Compared to a year ago, farmers have enrolled at least 11 million more acres into crop insurance coverage for 2013, according to the latest bi-weekly report by National Crop Insurance Services.

That report, current as of Sept. 9, indicates that the Risk Management Agency of the U.S. Department of Agriculture had processed some 1.2 million crop insurance policies covering 292 million acres involving 128 different crops.

In 2012, that total was 281 million acres, also on about 1.2 million policies.

The enrolled acres for 2013 represent some $121 billion in potential liability.

To obtain the policies, farmers are paying $4.4 billion in premiums compared to $4.1 billion in 2012, when the total payout for crop losses covered by insurance hit a record $17.3 billion.

As of the Sept. 9 report, the states with the most crop insurance policies for 2013 are Iowa, Kansas, Illinois, Nebraska, and Minnesota.

The most recent drought monitoring reports indicate an increasing portion of the country is affected.

It notes that one-third of the country, centered around the Rocky Mountains, is in what is considered to be a severe, extreme, or exceptional drought status.

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