Crop insurance agreement released
Aiming to reform the federal crop insurance program, reduce the federal deficit, and maximize taxpayer dollars, the USDA has released the final draft of a new crop insurance agreement and, as a result, $6 billion in savings. Two-thirds of the savings will go toward paying down the federal deficit, and the remaining third will support high priority risk management and conservation programs. By containing program costs, these changes will also ensure the sustainability of the crop insurance program for America’s farmers and ranchers for years to come. USDA’s Risk Management Agency (RMA), which administers the federal crop insurance program, released the final draft version of a new Standard Reinsurance Agreement (SRA), which details the new terms, roles, and responsibilities for both the USDA and insurance companies that participate in the federal crop insurance program.