Although fall harvest is still underway in the Corn Belt and the revenue insurance policies that take into account October crop prices are in progress, it seems that experts are already predicting record crop insurance losses for 2012.
Thousands of farmers have already filed crop insurance claims this year after their crops were scorched by triple-digit temperatures and didn’t get any relief from water, as the drought was one of the worst this nation has ever seen.
Interestingly enough, the crop insurance program paid out $10.8 billion in insurance claims last year, but the government still had a profit of $1.1 billion. This is because losses paid out did not exceed the premiums collected. Because of this and because for the past decade the crop insurance program saw gains due to record premiums, the program cut some growers’ premiums this year. Now, crops insurance losses are expected to reach new records.
According to the Agriculture Department statistics, paid agricultural insurance claims filed early this year for winter wheat, corn, soybean, and other crop damage include:
- $1.42 billion in total claims paid
- Texas accounted for $518.6 million in agricultural claims paid
- Kansas followed at $223 million in claims paid
- Colorado came in at $66 million in paid insurance claims
If you haven’t submitted your crop insurance claim yet, make sure you talk with a knowledgeable agricultural insurance lawyer who has been successfully representing farmers for years. Call the Voss Law Firm at 888-614-7730 today and receive a complementary case consultation and free book Understanding Agricultural Insurance Claims.
