A Risk Management Agency report says that crop insurance indemnities for all crops have dropped this year compared to 2014. The report says this year’s total is 1.083 billion in federal payments compared to 1.625 billion in 2014. The soybean indemnities this year are up about $ 8 million over last year from $ 77 million to $ 85 million. South Dakota Soybean Association President John Horter says that could lead to more attacks on the program from budget cutters.
Horter says crop insurance is a necessary program to help producers battle the risks they face against bad weather and other unforeseen challenges. He also says it’s the only real safety net farmers have.
Horter says crop insurance has been one of the most effective and viable federal programs over the years.
Most of the crop insurance payments this year are linked to drought conditions in the Central and Southern Plains according to the Risk Management Agency report.