During the 1980 crop crisis, lawmakers needed ways to manage risks. What is crop insurance? Why is it important for farmers? If you want to know why we will be stating some of the reasons.
1. Regardless of farm location, crop choice, and size, farm insurance is available for all farmers.
2. Farmers need crop insurance to obtain the capital needed to meet rising costs.
3. Lawmakers and states have made farm insurance the modern-day farm policy in which making it affordable, economically viable, and available for farmers is the main objective.
How crop insurance work:
Farmers work with insurance agents to tailor a policy for their unique needs; the insurance agents then provide that needed protection to farmers at rates set by the U.S. government.
When disaster strikes within the fields, the farmers file a claim just like any other insurance such as a car, accident, or any sort. When a claim is verified, the insurers then approve indemnities that arrive in days, not months or years.
The public and private relationship among farmers and other governing bodies have paved the way for croplands and other farming fields to be insured. Over 100 farming and livestock policies are now available to farmers, and 9 out of 10 planted acres of principal crops are currently insured.
As a result, farmers are provided over 100 billion dollars of liability protection, and farmers are clear about their top farm policy programs in the future.