The Importance of Crop Insurance

Crop

Montana crops are responsible for over $3 billion of the state’s economy. Being a farmer in Montana does not come without risks. Farmers face a variety of risks, including drought, hail, flooding, and pests. Crop insurance can help farmers protect their crops and their businesses. In 2002, crop insurance protected 16.4 million acres providing $1.8 billion in liability protection. Crop insurance is essential to the success of farmers and their operations.

Beginning in 1880, private insurance companies sold policies to protect farmers from the effects of hailstorms. Since then, it has evolved into a government-subsidized program. Farmers can select from a variety of crop insurance policies to fit their unique needs. Crop insurance in Montana is vital as the state has experienced numerous major weather events that have caused significant crop losses. In 2017, a drought caused widespread damages. Farmers with crop insurance received financial assistance to help them recover.

Operations of all sizes can benefit from crop insurance. In fact, we highly recommend that small farmers have crop insurance as they may not have the financial resources to recover from a major loss.

 

Here are some of the benefits of crop insurance for Montana farmers:

  • Financial protection: Crop insurance can help farmers recover financially from crop losses due to natural disasters.
  • Peace of mind: Knowing that you have crop insurance can give you peace of mind, knowing that you will be protected if your crops are damaged.
  • Access to credit: Crop insurance can help farmers qualify for loans from banks and other lenders.
  • Support for the agricultural economy: Crop insurance helps to stabilize the agricultural economy by providing financial assistance to farmers who suffer crop losses.

Additional resources to learn more about crop insurance in Montana:

 

With more than 55 agents and 60 locations across the state of Montana and northern Idaho, Farmers Union Insurance is equipped to guide you in important insurance decisions to protect what matters most to you.  To find your local agent, click here.

 

Disclaimer: The content provided in this blog is for informational purposes and should not be considered an offer for coverage. Each insurance policy is unique and may have varying terms, conditions, and exclusions. It is essential to consult with a qualified insurance professional or licensed agent for personalized advice tailored to your specific needs. This blog does not constitute a contract, policy, or guarantee of coverage. Always refer to your individual policy documents for full details.

 

Source:

Crop Insurance

Montana Department of Agriculture