Crop Insurance

[ATM]

Can anyone tell me about crop insurance?


I don't have a clue but I think that I'd like to start betting on crops


...or against them, depending on the odds.

 

[PapaScout]

Of all the diversity we have on this site I'm sure it's only a matter of time before an expert is available to share their opinion! I love this site!

 

[DocBoCook]

Yes, we need an expert in Crop insurance, calling ANY expert in Crop insurance!!!!!

 

[davebone42]

Can anyone tell me about crop insurance?


I don't have a clue but I think that I'd like to start betting on crops


...or against them, depending on the odds.

HA
This great! It just so happens I have sold Crop Insurance for the past 10 years. (I am sure you had no idea) If I go into too much detail this thread will turn into a bedtime story.
It is a .gov subsidized safety net for farmers and lenders. There has been some major opposition in the most recent farm bills and the private companies and agents have taken some pretty substantial cuts.
This has had an ill-effect on my gunfund and I would appreciate any support that you guys can give. Crop Insurance & Crop Protection from Federal Crop Insurance Programs

 

[PapaScout]

Welcome Dave! Great group here.

 

[jblomenberg16]

I happen to know somebody that knows a thing or two about the topic, and his name is Dave!

 

[davebone42]

It should also be noted that being ".gov subsidized" all the rates are set and no discounts can be offered from any agent. This means that an agent can only offer better service and quicker claim payments to attract new insureds.

 

[davebone42]

I happen to know somebody that knows a thing or two about the topic, and his name is Dave!

I am good friends with a guy who's cousin married a guy named jblomenberg16. I had only heard rumors of him from the interwebs about his tactical mousetraps and precision knife skills. I met the legend this weekend

 

[DocBoCook]

so participants all pay the same rate? or the discounts are set via some sort of scale?

 

[davebone42]

so participants all pay the same rate? or the discounts are set via some sort of scale?

The rates are all set by the RMA

The factors that would affect premium would be as follows:
Plan of Coverage chosen
Coverage level chosen
Risk Factor (which is set along with the Base Price)
Base Price (which is the avg closing Dec futures price on the CBOT for each day the market is open in Feb)
the farmers Actual Prodction History up to 10 crop years
Whether the ground is located in a "high Risk" area (this can almost double the premium)
Then there are situations where a crop may be planted after the late planting period for that crop. This will result in a 1% coverage reduction / day late
There a number of other yield adjustment factors that will affect premium but they always work to the favor of the farmer and are worth the minimal expense

 

[DocBoCook]

so, none of it is based on the .gov regs on actual production? (by the way, you should come contribute in the "Cops are not required to protect us" and "Nanny State" threads)

 

[davebone42]

so, none of it is based on the .gov regs on actual production? (by the way, you should come contribute in the "Cops are not required to protect us" and "Nanny State" threads)

I'm not completely understanding your question.

The rates are set by the government. But the farmer's actual production history will fall into a different rate "column"
For example:
Someone who has has consistent losses would have a low yield which would come with a higher rate.
Another guy who has had several successful years would move up the rate chart and have a lower rate.

I will definately check out those topics. I just needed to get out of my shell a little on here. I have never been much on offering up too much information about me in a forum setting.

I appreciate you guys showing interest in this

 

[ATM]

Is there ever an option to "double down"?

Like if a hurricane is predicted to take out the orange crops but you think it might veer off somewhere else?

Does the cost of insurance rise if the .gov has an ace showing?

 

[davebone42]

Is there ever an option to "double down"?

Like if a hurricane is predicted to take out the orange crops but you think it might veer off somewhere else?

Does the cost of insurance rise if the .gov has an ace showing?

No.

They have been doing this for a few decades. I am not sure of the sales closing date for oranges. But corn and sbean insurance must be signed up by March 15. There is a timespan for hail coverage before coverage will attach. So someone can't watch the extended forecast and "double down"

 

[ATM]

Figures.

Your replies have been most helpful and I do appreciate the wealth of information and experience you have provided.

I suspect that, like many farmers, you are outstanding in your field.

 

[davebone42]

Figures.

Your replies have been most helpful and I do appreciate the wealth of information and experience you have provided.

I suspect that, like many farmers, you are outstanding in your field.

Thank You!

I appreciate that and I appreciate your interest in a boring and often overlooked program. Without it there would be a lot of small farm families going broke and the last thing we need is a food shortage. We truly are the world's bread basket and there are millions of dollars in those fields we drive by everyday. One 100,000 bushel bin full of beans can be worth more than 1.5 million dollars!!! It is staggering when you start looking at the crops as more than just pretty fields. It is a big vulnerable bank account that either does well and pays the bills or fails and costs the farmer and us all.

 

[jblomenberg16]

I am good friends with a guy who's cousin married a guy named jblomenberg16. I had only heard rumors of him from the interwebs about his tactical mousetraps and precision knife skills. I met the legend this weekend

The pleasure was all mine! BTW, Are there still burn marks on your windshiled? Who would have thought that 5000deg Magnesium would do that to a windshield.

 

[k12lts]

I thought of Dave as soon as I saw this thread this morning and hoped he would be on here. He's a good guy and My crop insurance agent.

 

[davebone42]

The pleasure was all mine! BTW, Are there still burn marks on your windshiled? Who would have thought that 5000deg Magnesium would do that to a windshield.

HA! Yeah the burn marks are still there. I am just fortunate that it's a "company car"

 

[davebone42]

I thought of Dave as soon as I saw this thread this morning and hoped he would be on here. He's a good guy and My crop insurance agent.

Thanks k12lts,
I am glad to have you as a friend and insured

I didn't go to sleep last night until 3:30. I had never really gotten involved in any discussions on here until last night.
I figured out why I couldn't sleep. I have been getting allergy shots for the past couple months. Yesterday I made it towards the end of my vials and had a reaction that caused me to break out in a rash all over my torso and face. My throat was swelling and Dr. Roberts had to give me Benedryl and Solu Medrol.
I found out a side effect of the Solu Medrol is INSOMNIA!
As well as an addiction to online gun forums