The Congressional Budget Office (CBO) projects federally subsidized crop insurance will cost an additional $27.7 billion over the next decade, with the government covering roughly 62% of premiums. Crop insurance costs are estimated to rise by 29% to nearly $125 billion for the decade ending in 2033. Despite this increase, USDA spending on crop and livestock subsidies and land stewardship programs is expected to remain stable.
Livestock insurance has seen significant growth since 2018 due to increased premium subsidy rates, covering $26.4 billion in liabilities in 2023. The popularity of forage policies is expanding the reach of the crop insurance program. With over 539 million acres enrolled, crop insurance enjoys strong support from farm-state lawmakers.
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