Boosted by the popularity of forage policies, crop insurance coverage exceeded 500 million acres in 2023, marking the highest level ever. Enrollment in crop insurance has surged 85% since 2016, according to USDA data. Crop insurance, the largest USDA agricultural support, is projected to cost $125 billion over 10 years, significantly higher than the $61 billion for traditional crop subsidies. Farmers pay roughly 38% of insurance premiums, with the government/taxpayers covering the rest.
While crop insurance receives bipartisan support, disagreements exist on enhancements. The House Agriculture Committee’s bill proposes larger premium subsidies and extended premium assistance for beginning and veteran farmers. Senate Agriculture Chair Debbie Stabenow (D-Mich.) aims to make crop insurance more affordable, especially for new farmers and specialty crops.
Forage policies, such as the Pasture, Rangeland, and Forage plan, significantly contributed to the increased coverage, now representing a large share of insured acreage. Despite their extensive coverage, forage crops have relatively low monetary value.
Participation in livestock insurance programs has also grown, with insured liability through various plans more than doubling since 2021.
