Flood And Disaster Relief in the Midwest Hearing Before the Committee On Agric

Cover Flood And Disaster Relief in the Midwest Hearing Before the Committee On Agric
Flood And Disaster Relief in the Midwest Hearing Before the Committee On Agric
Nutrition United States Congress Senate Committee On Agri
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I mean, they were otherwise eligible but they chose not to. I think we only have about a 40-percent participation in the program.
Obviously we are going to seek to help everybody, but how do you avoid sending the kind of signal that it doesn't really make 28 any difference whether you buy crop insurance. If there is a disas- ter, you are going to be taken care of. On the one hand, the people who didn't buy it get relief. The people who did buy it say, we are kind of getting hit twice. We paid f
...or it, we would have been made whole anyway.
How do you get around that?
Secretary Espy. Well, we do have a catch-22 of sorts, and we have discussed it and Senator Kerrey and I have discussed it several times, lately by phone from Iowa.
It is a catch-22. We have an inadequate Crop Insurance Program where farmers really just don't want to pay this level of premium when there is no anticipated disaster within sight. And when there is a disaster, they are also very chagrined and very upset that many of them have been paying and paying and paying these pre- miums for years and years, and then when the big one comes along and they are prevented from planting, it is not covered under the program.


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