Crop Insurance: What You Need to Know

As you suffer from drought and begin to think about crop insurance, here are some things to keep in mind.

Farmers throughout the Corn Belt have one thing on their minds, drought. Ok, maybe two things; drought and crop insurance. In this time of struggle, there are some things farmers can do to make claiming crop insurance a less frustrating experience.


Tom Zacharias, president of National Crop Insurance Services, says farmers need to do three things when they discover loss on insured fields.

1) Notify your crop insurance agent within 72 hours of the initial discovery damage.
2) Keep caring for the crop and try to protect it from further damage if possible.
3) Obtain consent from the insurance company before destroying any of the crop.

“There are other requirements that insureds need to follow that can be found in their specific policy,” says Zacharias. “But these three are key for right now.”

It is also important that farmers document all of their claims when dealing with insurance. A farmer from Wisconsin included this advice in a Crop Comment this morning “On a side note, any farmer with crop insurance document in writing like in an e-mail you are making a claim,” he says. "[If you don’t and] an agent forgets to file your claim you have no proof you filed one, speaking from experience.”

Crop insurance is complicated, but the USDA receives questions about it frequently. Check out their FAQ sheet which includes the answers to questions like, “How do I file a claim?” and “Can I cut my corn insured for grain as silage?”

Tough on Livestock

This year’s drought is going to be particularly difficult for livestock producers. Agriculture Secretary Tom Vilsack says that livestock producers are likely to suffer the most from drought conditions because there aren’t any programs to help them. “Margins are pretty tight for livestock producers,” he says. “Producers will make decisions to reduce herds and minimize impact of the situation.”

AgWeb-Logo crop
Related Stories
Jerry Gulke, president of the Gulke Group says at the same time the latest CFTC Commitment of Traders report showed the large speculator adding to their net long positions in corn and soybeans and have been extending that position since the week of July 6.
Naomi Blohm with Total Farm Marketing says the grain markets saw risk off selling by traders heading into the weekend as U.S. Treasury Secretary Scott Bessent was schedule to meet with his Chinese counterpart to lay the groundwork for the U.S. China Summit.
Scott Varilek with Kooima Kooima Varilek says the market has seen sloppy trade and profit taking with news of the Santa Teresa port opening but it isn’t new news.
Read Next
Matt and Janna Splitter grew their farm by investing in people. Now the test is whether the farm can run without them — and which acres are worth keeping.
Get News Daily
Get Market Alerts
Get News & Markets App