Crop Insurance

[jensend]

my point is that if you consider the true total premium to coverage it gives you a better estimate of the risk of grainfarming. if you want more subsidies campaign away but the disservice the crop insurance premium subsidy does is it makes most farmers underestimate the risk involved in crop production.

[jensend]

and you're absolutely correct that a couple or three bad years will screw up your agristability and crop insurance coverage but that just reinforces my contention that the business is very risky. the way grainfarming has changed in the last forty years is to download all the risk onto the producer.

[SASKFARMER3]

Lets do like the West and south got in the dry years. Zero production was forgiven if im not mistaken.

[jensend]

won't change the actual history.

[riders2010]

I certainly agree with you jensend the risk has been downloaded, but the programs do not respond to the downloading. We are not being compensated for that downloading which means someone up the ladder is getting a cheaper ride at our expense so is this a subsidy or just a relevelling of the playing field.

Saskfarmer3 I believe that is correct about the drought areas not having their zeros. But where do you cut off 5 bushels 8 bushels etc. Maybe there shouldn't be such an easy declaration of disaster. I know even this year some areas were complaining how wet and it turned out they were worried that the 40 bushel canola was testing 12. Trying combining 10 bushels when you cannot even test it or put the swather in the field. But then again how would you draw lines geographically.

I still think the weather based scenerio could be workable. Surely there would be a way to determine the soil moisture starting out and then if that starts you at a disaster then the program kicks in.