A widely discussed topic in crop insurance is the enhanced coverage option plan. This area-based plan provides an additional layer of protection for farmers. Steve Hasche, owner of Midwest Ag Group and a veteran crop insurance agent, talks about how this option can benefit farmers.

“With the higher subsidy rate, I think that producers need to study it, ask questions, and look at their county to see how it would have affected their county in the past because your agent should be able to help you look back and see the likelihood of a payment in the past. That’s part of the coding process, and we can look back to say, ‘Okay, this has stayed the last three out of five years, or whatever,’ and it just gives the guy a way of looking back to see how it would have worked in the past.”

While farmers can’t predict the future, Hasche says it’s worth looking into because of the larger subsidies.

“You’ll have the same underlying policy that you’ve always had, and that’ll pay for a replant or prevent plant or a revenue claim, but ECO is a little bit different. It’s got a higher band of coverage, but it could pay out well if the right things happen to make the policy engage. So, I encourage people to learn about it.”

For more information, go to midwestag.farm.