Crop Insurance Today November 2017 - 26

registered voters. The results of these efforts indicate that voters (who are more than likely also
taxpayers) and leaders in Washington D.C. are
supportive of an effective national farm policy.
Moreover, these same surveyed voters are supportive of a national farm safety net. That is, both
the public and private-sector share in the risk,
farmers have access to individualized risk management tools, and farmers pay a portion of the
cost of the safety net.
As to crop insurance, per se, critics of the system are either unaware or choose to ignore the
achievements of the U.S. system. First, crop insurance in the United States has achieved historic
participation levels. Approximately 90 percent
of planted acres are protected by some form of
crop insurance. Crop insurance operates in an
actuarially sound manner, due in part to a high
participation level measured by acreage, regional
and crop diversity, and adequate coverage levels.
Approximately 80 percent of insured acres have
at least a 70 percent coverage level.
It is also worth pointing out that Federal crop
insurance is being effectively and efficiently administered and is operating within its financial
targets. With respect to effective administration,

Let's be clear, crop
insurance is achieving its
participation and actuarial
targets efficiently and
under budget.
"Keep up the good work."
the Office of Management and Budget's Improper Payment Rate for crop insurance is one of the
lowest across all USDA agencies. At just two percent, it is much lower than the government-wide
improper payment rate of 4.7 percent. As was
mentioned earlier in the context of the recent
GAO report, underwriting revenues for the AIPs
are currently less than the targets prescribed by
the 2011 SRA.
To summarize, let's be clear, crop insurance
is achieving its participation and actuarial targets efficiently and under budget. "Keep up the
good work."

Conclusion

Federally regulated crop insurance has come

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26

NOVEMBER2017

a long way, and in some sense, has matured very
quickly, if one starts the clock with the 1994
Reform Act. This is only a period of 23 years
to the present. The industry and the RMA have
achieved a great deal and much of the growth can
be attributed to a certain amount of good fortune
and lots of hard work. Thus, continuing to keep
up the good work and serve our clients with the
highest levels of professionalism and integrity
should be our top priority.
In closing, I would say that the crop insurance
industry in the United States and the Partnership
currently finds itself well positioned for the future. Granted, we do have our opponents and our
industry will continue to face challenges. However, I am not sure we could have any stronger
advocates in the farm groups and commodity organizations, as well as members of the House and
Senate Agriculture leadership. Our industry is
genuinely appreciative of the support it receives.

In This Issue

I mentioned earlier in this message about the
AIAG Congress held in Warsaw, Poland, in early
October. In this issue of Today® you will find a
great article that highlights the presentations and
activities attendees experienced during this wonderful event. We hope you will also enjoy reading
about the NCIS summer loss adjuster schools
and field days and looking at the "in action"
pictures. We could not begin to facilitate these
schools without the help of the NCIS regional/
state committees. Thank you to everyone who
served as an instructor, plot leader or participant.
Your dedication and service to the industry is
appreciated. We also highlight the most recent
NCIS scholarship recipients and invite you to
get to know them a little better by reading their
bios. We thank the NCIS Board of Directors and
the Communications & Outreach Committee
for their leadership and direction to allow us to
increase the number of recipients this year from
two to three. Thank you for helping us invest in
the lives of these well-deserving students. And
lastly in this issue, we provide a compilation of
quotes from farmers and commodity organization leaders who voiced their support of crop insurance during the Farm Bill hearings and listening sessions held this year. We are, again, grateful
for the support of our Congressional champions
and all of those who support this industry.
As we finish out 2017, let me be the first to
wish you and yours a Safe and Happy 2017
Holiday Season!

http://www.tomstanleyinsurance.com

Table of Contents for the Digital Edition of Crop Insurance Today November 2017