Lawmaker Says New Dairy Insurance Will Be Better Than MPP
This week USDA and the American Farm Bureau Federation announced a new insurance option for dairy producers. According to Rep. Collin Peterson (D-Minn.) the Dairy Revenue Insurance Program will benefit farmers more than USDA’s Margin Protection Program (MPP) has.
“The solution long term to this very thing is this new Farm Bureau revenue policy if the corn and soybeans and these other crops are any indication, it's popular with farmers and it's going to have the crop insurance agents out there explaining it to people and selling it to people instead of the FSA,” he says.
The insurance was developed and approved through USDA’s Risk Management Agency and will be offered by Approved Insurance Providers nationwide. The program is federally subsidized. The amount of premium subsidy will vary, depending on the percentage of the level of coverage. Those coverage levels range from 70 to 95% in 5% increments. Subsidies decrease as coverage level increases.
Farmers can participate in this program and the MPP at the same time.
For more details, go to AFBF’s page and USDA’s Risk Management Agency’s page on Dairy Revenue Protection. An agent locator is available online at: https://www.rma.usda.gov/tools/agent.html.