Climate Change Could Increase Crop Insurance Losses

Dec 02, 2014

Climate change could increase losses in flood and crop insurance programs significantly in coming decades, according to a USA Today article available here. Agri-Pulse also published an article available here and Insurance News here.

The Government Accountability Office’s (GAO) report found that exposure to losses for property insured under the two programs grew from 8 percent to $1.4 trillion over the past six years due to population growth and increased property values in hazard-prone areas.

The GAO study says climate change “may substantially increase losses by 2040 and increases losses from about 50 to 100 percent by 2100,” according to Agri-Pulse.

“(FEMA and RMA) face challenges that may limit their ability to minimize long-term federal exposure to climate change,” the report summary said. “For example, because of the short-term nature of insurance (i.e., contracts typically estimate and communicate risk of property losses for the 1-year term of a policy), FEMA and RMA face a challenge in encouraging policyholders to reduce their long-term exposure to climate change risks.”

FEMA is currently $24 billion in debt because of extreme weather events, and in 2006 the GAO labeled the National Flood Insurance Program as "high risk" for long-term insolvency, according to Insurance News.

Click here to see more...

Video: Sorting Ewes & Rams | Breeding Time On The Farm!

In this episode, we’re sorting ewes into their breeding groups and introducing them to unrelated rams. Moving rams between barns always comes with challenges, but once the boys meet their ewes, everyone was eager to settle in!

We also welcome back a returning customer who purchased a Suffolk ram from us last year. This season, she chose a Dorset cross ram, now named Benny, to strengthen her flock’s genetics. It’s always rewarding to see repeat customers who value the quality of our breeding stock.

Arnie then tours the crop fields as harvest season approaches. Despite drought conditions this summer, the crops are looking surprisingly good. We close the day with evening feedings and one last look at the rams with their new breeding groups.

?? Join us daily for life on a working sheep farm, from flock management and breeding strategies to crops, chores, and the everyday rhythm of farm life.