U.S. 2013 Crop Insurance Indemnities Clear $2.2 Billion

August 20, 2013 11:58 PM
 

via a special arrangement with Informa Economics, Inc.

2012 payouts just under $17.4 billion


NOTE: This column is copyrighted material, therefore reproduction or retransmission is prohibited under U.S. copyright laws.


Indemnities for 2013 have reached $2.286 billion as of Aug. 19 under the federal crop insurance program, according to Risk Management Agency (RMA) data. Indemnities for 2012 losses are at $17.399 billion.

Wheat remains the main crop with the largest payouts for 2013 losses at $1.244 billion with cotton at $393 million and corn at $269 million. For 2012, corn still leads the way with $11.822 billion, followed by soybeans at $2.128 billion, cotton at $1.093 billion and wheat with $759 million.


Cropas of Aug. 19, 2013

Year

Net Acres Insured
(million)

Premiums Paid
(Billion dollars)

Subsidy
(Billion dollars)

Indemnities
(Billion dollars)

Loss Ratio

Corn

2012

81.449

$4.329

$2.689

$11.822

2.73

2013

78.328

$4.355

$2.630

$0.269

.06

Cotton

2012

11.425

$0.836

$0.554

$1.092

1.31

2013

9.072

$0.635

$0.409

$0.393

.63

Pasture & Rangeland

2012

48.179

$0.164

$0.089

$0.182

1.11

2013

53.851

$0.194

$0.104

$0.084

.43

Peanuts

2012

1.322

$0.088

$0.052

$0.026

.30

2013

0.878

$0.043

$0.025

$0.0007

.02

Rice

2012

2.100

$0.055

$0.038

$0.041

.75

2013

1.886

$0.048

$0.032

$0.030

.62

Sorghum

2012

4.681

$0.214

$0.138

$0.402

1.88

2013

5.559

$0.267

$0.170

$0.039

.15

Soybeans

2012

65.185

$2.351

$1.473

$2.128

.91

2013

61.649

$2.271

$1.399

$0.088

.04

Burley Tobacco

2012

0.082

$0.026

$0.015

$0.036

1.35

2013

0.053

$0.017

$0.010

$0.000

.01

Flue-Cured Tobacco

2012

0.201

$0.039

$0.022

$0.041

1.05

2013

0.188

$0.040

$0.023

$0.000

.01

Wheat

2012

46.546

$1.789

$1.114

$0.759

.42

2013

45.868

$1.877

$1.183

$1.094

.58

TOTAL

2012

282.991

$11.110

$6.975

$17.399

1.57

2013

278.603

$10.992

$6.796

$2.286

.21


Comments: Indemnities continue to rise for 2013 and net acres insured have also moved to within 4 million of total acres insured for 2012 crops and have moved ahead of where 2012 was at this point last year. Also, more premiums have been paid into the system for 2013 corn, pasture and rangeland, sorghum and wheat than were paid for all of 2012 with the totals still climbing as more data is received. Wheat remains the main area where payouts this year have passed year-ago at $1.244 billion against $759 million for 2012.


 

NOTE: This column is copyrighted material, therefore reproduction or retransmission is prohibited under U.S. copyright laws.


 


 

 

 

 

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