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Feenstra Introduces Legislation to Lower the Cost of Crop Insurance for New, Beginning, and Veteran Farmers and Producers
WASHINGTON, D.C. – Today, U.S. Reps. Randy Feenstra (R-IA) and House Agriculture Committee Ranking Member Angie Craig (D-MN) introduced the Crop Insurance for Future Farmers Act, which would equip new producers, beginning farmers, and our veterans in the Midwest and nationwide with the critical crop insurance protections that they need to be productive, profitable, and successful.
More specifically, this legislation would align the definition of “Beginning Farmer” to match most other beginning-farmer programs, extending crop and livestock insurance protections to ten years for new and beginning farmers. This increase to 10 years would apply to all federal crop insurance programs, including livestock policies. The current definition constitutes only five years of enhanced crop insurance protections.
U.S. Senator Majority Leader John Thune (R-SD) and Ranking Member of the Senate Agriculture Committee U.S. Senator Amy Klobuchar (D-MN) introduced companion legislation in the U.S. Senate.
“Born and raised in rural Iowa, ensuring that the next generation of Iowa farmers and producers can continue long-held family traditions and grow the food and fuel that our nation and the world depend on is important to me, vital to our economy, and critical to our national security. To keep our farmland in the hands of Iowa farmers and away from China and our foreign adversaries, we need to cut operating costs for our young and beginning farmers so that they can grow, compete, and succeed – instead of calling it quits because of financial barriers,” said Rep. Feenstra. “That’s why I introduced the Crop Insurance for Future Farmers Act to lower the cost of crop insurance for the next generation of Iowa farmers during their first ten years in operation – the most vulnerable of any business. This relief will help our young producers plant their roots in our rural communities, promote farm profitability, and strengthen Iowa’s status as the breadbasket to the world. From repealing the federal death tax to cutting the cost of crop insurance, we can invest in the future of Iowa agriculture, keep our enemies away from our farmland, and power our economy forward.”
“Investing in future generations of farmers and ranchers is critical to growing South Dakota’s agriculture economy and supporting rural communities,” said U.S. Sen. Thune. “Crop insurance is the cornerstone of the farm safety net, and I’m proud to lead this legislation that would improve its effectiveness for beginning farmers and ranchers by providing more affordable options during their first 10 years of operation.”
“New, beginning and veteran farmers rely on farm safety net programs like crop insurance to get their feet underneath them and build successful operations,” said Rep. Craig. “I’m proud of the bipartisan work Rep. Feenstra and I are doing to support new and beginning farmers and implement commonsense policies that will help generations of family farmers not only survive but thrive.”
“AACI applauds Representatives Feenstra and Craig's 'Crop Insurance for Future Farmers Act.' This legislation is a step in the right direction to protect the future of farming by extending insurance protections to encourage the new generation of farmers America needs,” said Dale Perry, Chairman of the American Association of Crop Insurers (AACI). “America’s economic and food security depends on farmers, and we need to help more people to become a part of the agriculture industry.”
“Providing affordable and flexible risk management solutions for as many American farmers and ranchers as possible is a critical goal of crop insurance,” said Lindsey Rinkenberger, Chairwoman of the Crop Insurance and Reinsurance Bureau (CIRB) and Director of Commercial Agribusiness Underwriting Operations at COUNTRY Financial. “We applaud Representatives Randy Feenstra and Angie Craig as well as Senators John Thune and Amy Klobuchar for their bipartisan and bicameral leadership toward ensuring crop insurance is a more affordable tool for those just getting their foothold in the industry, including veterans and the next generation of farmers and ranchers.”
Our young, beginning, and veteran farmers and ranchers play a critical role in the success of American agriculture. In 2022, the United States had 1,011,715 producers who were identified as beginning farmers or ranchers, accounting for over 30% of the country’s producers. Additionally, there were 305,753 producers who had served or were serving in the military.
With rising input costs, softening commodity prices, and uncertainty threatening the farm economy have underscored the need for a strong and comprehensive farm safety net. Crop insurance serves as the best tool in a farmer’s toolkit to manage the risk they face on the farm, while reducing taxpayer risk exposure. This legislation works to improve access and affordability of this critical risk management tool.
