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USDA Crop Insurance Provision Being Implemented

By Jean Paul McDonald, Farms.com

The U.S. Department of Agriculture recently provided an update on the process of implementing certain provisions outlined in the 2014 Farm Bill that aim to strengthen and expand insurance coverage options for American growers.    

For example, the Supplemental Coverage Option, also known as SCO, which is available through the new federal crop insurance program, is set to start at the beginning of the 2015 crop year. SCO helps protect farmers from potential yield losses and price volatility.

"It's critical that they have crop insurance options to effectively manage risks and ensure that they do not lose everything due to events beyond their control. Following the 2014 Farm Bill signing, the USDA has made it a priority to ensure the Supplemental Coverage Option was available to help farmers in this upcoming crop year,” Agriculture Secretary Tom Vilsack said in a release.

The SCO program is open to farmers who grow corn, cotton, rice, soybeans, barley and wheat. Growers who are considering this option should investigate whether or not their location (county) is on the list for eligibility for the program. According to the Risk Management Agency that administers the program, there are plans to make the program more accessible by adding more counties and crops on its eligibility list.

Farmers who cannot find their counties and or crops listed under the SCO program, are asked to wait until those details are made available by the USDA later this summer. Participating growers are also encouraged to become familiar with the new crop insurance options before locking in with a particular program.


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