The Midwest Council on Agriculture has endorsed a crop insurance proposal that would make higher coverage levels more affordable. It would increase the premium support for revenue protection on the 80 and 85 percent coverage levels. “It makes a big difference on what’s affordable to farmers across North Dakota and northern Minnesota, through the Plains, Texas and so on,” said Howard Olson, senior vice president, AgCountry Farm Credit Services. “Farmers in Iowa, Illinois and Indiana are insuring at 80 and 85 percent levels, but when we look at North Dakota and Minnesota, they’re at 70 and 75 percent because it’s just not affordable. Increasing this premium support will make that more practical to do that.” Olson, who is past president of the Midwest Council on Agriculture, said this proposal also calls for an increase in support for the Enhanced Coverage Option. The premium support for ECO is now at 44 percent and the recommendation is to increase it to 80 percent. “It’s been used more in Iowa and Illinois, but we’re seeing a little bit more of it in our area this year with some higher prices on the crop insurance side. Increasing that to 80 percent would make it more affordable and it would actually allow farmers to get up to 95 percent coverage level on an area plan.” Listen to the full interview.
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