IARN — The Department of Agriculture (USDA) announced changes to the Livestock Gross Margin insurance program for cattle and swine starting in 2021. Changes include adding premium subsidies to assist producers and moving premium due dates to the end of the endorsement period for cattle. USDA Risk Management Agency Administrator Martin Barbre says the changes “build upon RMA’s continued effort to make livestock policies more affordable and accessible for livestock producers.” Barbre says the agency is working to ensure the changes can be implemented by the July 31 sales period.
Before 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. The subsidy will range from 18 percent with zero deductible up to 50 percent with a deductible of $70 or greater for LGM-Cattle. For LGM-Swine, the subsidy will range from 18 percent with zero deductible up to 50 percent with a deductible of $12 or greater.
Story courtesy of the Iowa Agribusiness Radio Network.
