Crop insurance has been supported and regulated by the federal government since 1938. The Risk Management Agency (RMA)—part of the US Department of Agriculture—manages the Federal Crop Insurance Corporation (FCIC).
Since its inception, the crop insurance program has undergone several changes in order to better serve and protect farmers. At one time, crop insurance was mandatory for agricultural landowners. While the mandate was repealed in 1996, farmers who do not have crop insurance are not eligible for other federal disaster benefits after an event like a hurricane or tornado. Crop insurance is, therefore, highly recommended.
Private insurance companies have been offering crop insurance products since 2000. These insurance companies must contract through the RMA in order to sell crop insurance to farmers.
Local independent insurance agents can help you review your coverage options so you can compare quotes and policies that are available to you.