Every year, farmers are at the mercy of an aggravated amount of uncontrolled variables. Flood, drought, frost, hail, wind, fire, pests, bugs, weeds, market fluctuations – we don’t have the ability to affect much of what can hurt our bottom line. We do, however, have the ability to use certain risk management tools to lessen the stinging blow of crop destruction.
That’s where crop insurance comes in. This affordable, accessible, and reliable safeguard has been providing farmers with financial peace of mind for decades; and today’s crop insurance is better than ever. This is thanks to the Federal Crop Insurance Program, which provides support and subsidies to farmers and Approved Insurance Providers (AIP’S) in order to keep the cost of crop insurance premiums affordable.
Today, farmers can do more than just sleep well at night knowing their crops are protected. They can recover from unexpected, volatile market fluctuations, pay their bankers, suppliers and landlords, purchase production inputs for the upcoming season and maintain the overall confidence to make long-term investments that will increase their production efficiency.
Check out more reasons crop insurance is worth investing in:
Crop insurance payments are paid close to the time frame when loss occurs. Most crop insurance claims are paid within 30 days after settlement.
Crop insurance provides farmers the financial freedom to build capacity and innovation. Bankers standardly prefer crop insurance to farm program payments, as the farm programs tend to be less certain. Federally-subsidized programs, however, are known to be fiscally sound, properly regulated and well-funded.
Farmers play a huge role in sustaining the American standard for nutritional food, quality clothing, clean water and fresh air. In order to ensure farmers are actively working to protect their lands and natural resources, the Federal Crop Insurance program sets its own standards for policy eligibility. One of the key requirements for a farmer to obtain and maintain crop insurance is following the Conservation Compliance program. This not only demands that farmers use best practice to maintain environmental stability, but also facilitates the sustainability of individual farming operations.
Crop insurance provides the financial backstop needed to optimize farm marketing. In the case of a disaster affecting yields or prices, crop insurance provides farmers with the income needed to settle forward contracts, or futures and options positions.
Crop insurance allows farmers to customize their plans and coverage to accurately reflect individual losses and their unique yields or risk. There are a multitude of policy variations that you can choose from. Our representatives will work closely with you to ensure you have the perfect plan for your needs.
Families all over the world depend on the success American farmers for so many reasons. Farmers don’t just grow healthy, fresh food. They grow the plants that provide fiber for our clothes, furniture and toys, and they grow the feed for the livestock that provides raw material for hundreds of other essential products. Crop insurance gives farmers a feeling of security and the option to access capital in a way they couldn’t before. In turn, farmers can increase crop yields, improve efficiencies and stay competitive in world markets — In turn, the cost for these products can remain affordable for the rest of the world population.