Crop Insurance

AGree advocates for changes to crop insurance that acknowledge the risk-reducing benefits of conservation practices. 

Crop insurance is a key risk management strategy for the majority of commodity crop farmers. In 2022, more than 493 million acres of farmland were covered by federal crop insurance. Crop insurance is also one of the largest expenditures under the farm bill, representing about 37% of the total farm programs portion of the farm bill or around $10 billion per year.

Mounting scientific evidence shows that conservation practice implementation reduces crop yield risk during times of drought, heavy precipitation, and flooding. Additionally, conservation practices provide multiple environmental benefits, including improved water quality and soil moisture management, carbon sequestration, and habitat. 

Given high enrollment and significant federal subsidization, crop insurance has the potential to drive broader adoption of agricultural conservation practices that reduce risk and provide economic and ecological co-benefits. However, the Federal Crop Insurance Program (FCIP) also contains rules and restrictions that limit how farmers can practice conservation while maintaining eligibility for crop insurance.

AGree advances policy that eliminates barriers to conservation and facilitates the development of new crop insurance products that help farmers cover the risk of adopting new conservation practices.