From the Farm: Crop Insurance Coverage

The Morning Show

Cornbelt farmers are facing some of the toughest decisions they have ever had, because the weather has delayed planting about 6 weeks for most. While crop insurance can cover some of the financial loss from late planting and low yield expectations, there are numerous other trade offs. Stu Ellis visited with a crop insurance specialist who drew a big crowd Friday at Mahomet.

Stu Ellis

Lee Waters of Farm Credit told about 125 farmers to make decisions by field and their decisions on whether to plant or not will come in the next two weeks.

Lee Waters

So say you farm a farm that is north 10 miles and one south 10 miles. A rain band may have hit one and not hit the other. So at the end of the day you do the best you can between now and the final plant date to plant what you can and then go from there. If the farm hasn’t been fit from day 1, I mean on our own farm, we have a couple fields since April 10th we have not been able to do anything with it. So you just got to wait, and if you can’t plant it, you have this option of prevented planting to use as you wish. But you can still plant it if you can.

Stu Ellis

Do you or Farm Credit see more financial return from prevent plant, than from planting a late crop?

Lee Waters

That’s all going to depend on, the prevented planting you know now is approved. When you plant a crop its all going to depend on your yield, and we can make speculations all day long but corn yield is going to be determined by how well it comes up, and then the summer and fall weather we have. If it’s a terrible cool, wet summer, and we have a lot of disease and it doesn’t dry down, its going to be a lot tougher to make money. But depending on the prices too, if we see $4 corn, $4.25 today and we go to $5 it’s a huge difference, because the prevented planting product does not provide higher price coverage, where if you plant it, your coverage does.

That’s our report from the farm. I’m Stu Ellis with WCIA3 your local news leader.

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