It is Crop Insurance Season

This is the time of year when farmers spend more time in the office. There is financial information to get to their ag lenders for updating balance sheets and loans to renew. Most farmers are also planning for weed control programs and talking with their crop insurance agent. One of the most important decisions farmers make every year is deciding what type and level of crop insurance to buy. When it comes to risk management, the best tool available is crop insurance!

March 15 is the deadline for purchasing or changing your crop insurance policies. Over the past 30 years there have been tremendous improvements in crop insurance options available to farmers. I remember the original Multi Peril Crop insurance that had a guarantee in bushels an acre. Then the Revenue Insurance products came along with the guarantees in dollars per acre. Then private insurance companies developed polices to go along with the Revenue Insurance.

You can purchase additional hail insurance to go on top of your Revenue Insurance. You can also buy a Wind Endorsement to cover green snap on your corn. It has gotten really complicated to say the least. The major theme this year with low corn and bean prices is trying to cut expenses. I would argue decreasing crop insurance is one of the last expense you should consider cutting. With low prices can you afford to take on even more risk?