Kansas State University ag economist Art Barnaby says estimates of 25 to 30 billion dollars in crop insurance underwriting losses are wildly off the mark.
Barnaby continues to stick by his earlier estimate of less than 15 billion dollars. But he says that number is dropping every day and could end up closer to 10 billion dollars due to better than expected crop yields and other factors.
And even though 10 billion is still a big number, Barnaby points out that, over the past decade, the crop insurance program has actually had an underwriting gain.
Barnaby is speaking at a series of regional crop insurance workshops taking place this week in Colorado, Nebraska, Kansas and Oklahoma. During his Grand Island, Nebraska stop, Brownfield visited with Barnaby about his topic, “Drought, Politics and Risk Management Strategies”.