USDA proposes crop insurance improvements


USDA proposes crop insurance improvements

The USDA is proposing several crop insurance changes that a farm management analyst says would provide more flexibility.

Kent Thiesse with MinnStar Bank in south-central Minnesota tells Brownfield the Quality Loss Option would address concerns related to crop damage and APH—Actual Production History.

“Unfortunately, like some farmers in southwest Minnesota and other areas, 2018 and ’19 were a couple of bad years in a row, and all of a sudden yeah, you have the insurance coverage but your APH starts going down. And consequently, you lose some of that insurance coverage.”

The Quality Loss Option allows producers to replace post-quality production amounts with pre-quality amounts, which Thiesse says would essentially increase actual yields for individual crop years.

USDA is also releasing a new unit structure assignment option for Enterprise Units and new procedures for Multi-County Enterprise Units.

“If you farm on both sides of a state line or a county line, many times your Enterprise Units couldn’t go back and forth. So this kind of gives you a little more flexibility.”

The proposed crop insurance changes are described online on the Federal Register’s website.

The deadline for submitting public comments is August 28th.

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