USDA Restores Prevented Planting Buy-Up Option for Crop Insurance

The USDA has announced that it will restore the prevented planting buy-up option for crop insurance. This move is expected to benefit farmers in North and South Dakota, who are prone to volatile spring weather.

Agriculture Secretary Brooke Rollins stated that the agency is '100% supportive of restoring the prevented planting buy-up option to crop insurance' and is moving forward with implementation plans.

The buy-up option increases prevented planting coverage by 5 percentage points, which can significantly impact payouts when weather prevents crops from being planted.

In North Dakota, for example, a corn producer with a $700 per acre guarantee could see their prevented planting payment increase from $385 to $420 per acre with the buy-up option - a $35 difference that matters when production costs are high.