This is crop insurance season, when producers are evaluating their coverage for 2017. Chris Coffey, with Farm Credit Mid-America, says the first step you need to take is getting your records in order, “Many farmers are satisfied with the general lump sum they keep in their heads. We find that inaccurate or insufficient record keeping is the most common mistake.”
On the Financially Speaking program heard on HAT stations this week, he said there are specific records farmers should bring when sitting down with their crop insurance agent, “One of the most important things is an up-to-date balance sheet which is critical to your farm’s success.” He added that, in addition, the sooner a farmer can provide crop production numbers from 2016, the sooner coverage and premiums can be assessed for 2017. This information can also help your loan officer assess your loan needs for 2017.
Coffey says, ideally, several people need to be in on the annual crop insurance meeting, “It is important to partner with a team of experts to make sure you are informed during this process.” He said this should include a loan officer, crop insurance specialist, and perhaps even a grain buyer.
FCMA has a variety of financial resources and insights available on their web site: e-farmcredit.com.