Federally subsidized crop insurance has become the primary farm program. It needs some changes to be good for family farms and conservation. It must also be fiscally responsible to leave room in the federal budget for other farm and small-town priorities.
Federal crop insurance’s magnitude was underscored by a Farm Credit Services study. It showed that $4.5 billion in 2012 crop insurance indemnities to farmers in Iowa, Nebraska, South Dakota, and Wyoming saved about 21,000 jobs. Those payments kept farm income at the second highest level ever in spite of record drought.