LUBBOCK, TEXAS (RFD NEWS) — Farmers and ranchers are using a broader mix of tools to manage risk as markets, weather, and policy uncertainty continue to shift. A new report from the USDA Economic Research Service shows savings and off-farm income remain the most common risk management strategies on U.S. farms.
The report, authored by USDA economists, examined risk management practices from 1996 through 2020. Producers increasingly rely on a combination of on-farm strategies, crop insurance, marketing contracts, government programs, and longer-term planning tools.
Participation in the Federal Crop Insurance Program has remained relatively steady since 2005, but usage has increased among very large farms while declining among smaller operations. Government payments tied to programs like Agriculture Risk Coverage (ARC), Price Loss Coverage (PLC), and Dairy Margin Coverage (DMC) reached fewer than 15 percent of farms in most years.
Succession planning remains another weak spot. Fewer than one-third of producers had a formal succession plan in place by 2019, though adoption increased over time and was more common on larger farms.
Farm-Level Takeaway: Diversified risk tools help protect farm income.
Tony St. James, RFD News Markets Specialist
Cuban economic reforms could open up nearby export demand, but policy execution remains the key uncertainty.
March 05, 2026 10:33 AM
·
Bipartisan momentum builds, but final farm policy remains unsettled.
March 05, 2026 10:14 AM
·
Real Ag’s Shaun Haney explains how farmers are approaching risk management and the steps they’re taking to strengthen profitability through better financial planning.
March 04, 2026 04:48 PM
·
Dr. Jeffrey Gold discusses spring allergies and respiratory illnesses on this week’s Rural Health Matters, offering advice on managing symptoms and knowing when to seek professional help.
March 04, 2026 04:22 PM
·
ASFMRA’s George Baird shares insight on spring planting progress, acreage trends, and the financial factors influencing Mid-South farmers this season.
March 04, 2026 04:13 PM
·
Jeramy Stephens with National Land Realty explains how the Supreme Court’s tariff ruling and ongoing ‘America First’ trade policy raise new questions about U.S. farmland values and agricultural market stability.
March 04, 2026 12:04 PM
·
