green_machine - 2/15/2026 08:16
CS_307 - 2/14/2026 19:48
ECO insurance can be purchased in two bands. 86%-90% and 90%-95%. 86% down to whatever coverage you carry for your underlying policy is SCO. The coverage for ECO and SCO is based off of county production and price. I would make the argument that ECO and SCO are better farm safety nets than the traditional multi-peril insurance at their simplest form. In order to get a payout from ECO or SCO there would need to be a large weather event that impacts the majority of a county's production, a reduction in the price, or a combination of both. This type of coverage also does not provide a payment for prevented plant acres. What I am getting at is this policy basically eliminates the opportunity for fraud at the individual level by shifting bushels from county to county. It also does not reward the most inefficient operations that do not get their crops in timely or consistently have poor crops when everyone around them has a good year. In my opinion I would much rather they keep this type of program and eliminate all of the ad-hoc disaster payments like SDRP for crops that can be insured in ECO.[/QUOTE
Sounds similar to GRIP insurance? You're basically banking on your county to have a worse yield then yourself to trigger payout?
Yes, without the old multiplier of grip. We came from a good grip county/situation. I was very tempted to go very low on RP coverage and really bank on “GRIP”. But we always hated not knowing what our payment could be and then be dependent on RMA county yield figures coming later. I made a comment at a meeting someone could have already had their bankruptcy sale before they get their payment from these deferred programs. Thats one of the worst parts of em.
What does the new subsidized ECO insurance really do?
