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Activist group links climate change to increasing crop insurance payments
A new report finds extreme weather is costing taxpayers billions of dollars in crop insurance payouts to farmers, according to the nonprofit, Environmental Working Group (EWG).
(FOX 9) - A new report finds extreme weather is costing taxpayers billions of dollars in crop insurance payouts to farmers, according to the nonprofit, Environmental Working Group (EWG).
Crop insurance is bought by farmers and subsidized by the federal government to protect against natural disasters like drought or floods.
In an analysis of Department of Agriculture data, EWG found farmers received more than $143.5 billion in indemnities from 1995 to 2020 across the nation.
EWG’s annual numbers show payment amounts start at $1.5 billion in 1995 and escalate to a high of $17.4 billion in 2012. The payments drop off in later years but increase again to $10.6 billion in 2019.
A new report finds extreme weather is costing taxpayers billions of dollars in crop insurance payouts to farmers, according to the non-profit, Environmental Working Group (EWG). (FOX 9)
In Minnesota, payouts also gradually increased throughout the 25-year analysis until 2014, when payments topped $1.3 billion. The amount dipped to $91 million the following year but climbed again, reaching $800 million in 2019.
The two Minnesota counties with the highest indemnities are Marshall ($359M) and Polk ($302M) in the Red River Valley.
In a press release, EWG Midwest Director Anne Schechinger said, "climate change is already pummeling" farmers at taxpayer expense.
"The numbers don’t lie," she said. "Congress must reform the Crop Insurance Program in the next farm bill, so the program helps farmers prepare for and adjust to changes in the climate."