Some farmers are paying more for crop insurance depending on which state they live in.
Farmers in Arkansas, Louisiana, and Mississippi pay much higher crop insurance premiums compared to those in the Midwest. Research from the University of Arkansas System Division of Agriculture shows that hurricane risks are a major factor in driving these costs.
For example, insurance in the Midwest may cost two cents per dollar of liability, while Mid-South farmers may pay fifteen or sixteen cents. Crops like cotton and soybeans are especially vulnerable during hurricane season.
Research found hurricane impacts account for up to 92 percent of cotton premium rates and 42 percent for soybeans. Corn and rice face lower but still notable risks.