Crop Insurance for Future Farmers Act
The Crop Insurance for Future Farmers Act would amend the Federal Crop Insurance Act to boost crop insurance support for two groups: beginning farmers and ranchers, and veteran farmers and ranchers. The bill raises the time-based definitions for both groups from 5 to 10 years (or crop years) of activity, making it harder to qualify for “beginning” or “veteran” status unless the farmer has more experience. It also increases the government’s premium subsidies for these groups, establishing a tiered bonus of subsidy points over the first up to ten reinsurance years of participation in an applicable policy. The changes are designed to make crop insurance more affordable for newer entrants and veterans, potentially encouraging more participation in the program, but they would raise federal costs. The bill is titled the “Crop Insurance for Future Farmers Act” and was introduced in the Senate.
Key Points
- 1Beginning farmer or rancher definition increased to 10 years (up from 5 years).
- 2Veteran farmer or rancher definition updated: two subcategories now use 10 crop years (instead of 5), with a separate change to one subcategory’s timing.
- 3Premium assistance increases: for beginning/veteran farmers, the act adds tiered increases in subsidy points across the first ten reinsurance years:
- 4- Year 1 and Year 2: 15 percentage points each
- 5- Year 3: 13 percentage points
- 6- Year 4: 11 percentage points
- 7- Years 5–10: 10 percentage points each
- 8The changes are implemented by amending section 508(e)(8) of the Federal Crop Insurance Act, including reworking how the subsidy “notwithstanding” provision operates.
- 9Conforming amendment: Section 522(c)(7) would be amended to remove a specific subparagraph (F), though the exact effect depends on the removed text.