USDA Announces Improvements To Its Livestock Insurance Program
Washington - USDA's Risk Management Agency (RMA) today announced changes to the Livestock Gross Margin (LGM) insurance program for cattle and swine beginning in the 2021 crop year. Changes include adding premium subsidies to assist producers and moving premium due dates to the end of the endorsement period for cattle.
"These changes build upon RMA's continued effort to make livestock policies more affordable and accessible for livestock producers," RMA Administrator Martin Barbre said. "We are working to ensure that these improvements can be implemented by the July 31 sales period so producers can take advantage of these changes as soon as possible."
Prior to this change, LGM-Cattle and Swine did not have premium subsidies. Now, subsidies have been added and are based on the deductible selected by the producer. For LGM-Cattle, the subsidy will range from 18 percent with 0 deductible up to 50 percent with a deductible of $70 or greater. For LGM-Swine, the subsidy will range from 18 percent with 0 deductible up to 50 percent with a deductible of $12 or greater.
RMA is authorizing additional flexibilities due to coronavirus while continuing to support producers, working through AIPs to deliver services, including processing policies, claims and agreements. RMA staff are working with AIPs and other customers by phone, mail and electronically to continue supporting livestock insurance coverage for producers. Farmers with livestock insurance questions or needs should continue to contact their insurance agents about conducting business remotely (by telephone or email). More information can be found at farmers.gov/coronavirus.
Livestock insurance is sold and delivered solely through private insurance agents. A list of insurance agents is available online using the RMA Agent Locator. Learn more about livestock insurance and the modern farm safety net at rma.usda.gov.
Source: USDA news release