A vibrant farm industry is currently helping the crop insurance industry cope with the Agriculture Department's decision to substantively cut back its subsidy program, “but every year is a new year,” the head of the trade group representing the industry said.
“Obviously, with the new standard operating agreement, there is a reduction in profits,” said Tom Zacharias, president of the National Crop Insurance Services, Overland Park, Kan.
These cuts include reimbursement reduction for delivery expense, administrative costs and operating costs, as well as a reduction in expected underwriting gain for companies.
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.
