Can Crop Insurance Save My Farm?

Can Crop Insurance Save My Farm?

January 04, 2022

I have the privilege of talking to many farmers each day. No matter if they are grain farmers, hay producers, or have a livestock operation, the common concern that is on everyone’s mind for 2022 is… “Have you quoted your fertilizer costs yet for this year?”

Fertilizer costs have gone through the roof this year. Liquid & granular fertilizer is being quoted to farmers at 2.5 times higher than this time last year! Every farmer I have spoken to is extremely concerned. With the higher fuel costs, the increased land rents, and higher seed costs, the last thing that the farmers needed was higher fertilizer costs.

Each producer is now trying to analyze where they can cut their input costs.

Maybe use less starter fertilizer?

Maybe not top dress as much fertilizer at pollination stage?

Any option they point out will likely affect the crop and their bottom line. Plus, with the weather being so volatile, what happens if we have a drought or a heavy rain that floods out their crops?

With so many unknowns and the potential loss of income, crop insurance can help manage that risk and potentially keep you growing another season.

What is Crop Insurance?

Crop insurance is designed to help farmers re-coup some of their expenses at the time of a loss. By using each farmer’s own production history, we design an insurance policy to establish a production and dollar guarantee. So, if it’s a potential loss or worst case, a total crop loss, the farmer will know they are guaranteed a dollar amount that will be paid to them. This payment could mean the difference between paying bills to continue farming or having to discontinue your farming operation.

Crop insurance offers production guarantee policies as well as revenue guarantee policies. Each farmer decides on the percentage level of coverage and product to meet their own needs. Sales Closing (signup deadline) for Corn & Soybeans is March 15th, 2022 in most states within our region. With crop insurance being heavily subsidized by the federal government, it is more affordable than you might think!

You spend your life dedicated to your farm. Let’s work together to make sure you are properly insured going forward. Reach out to Ryan Wiles today to learn more.