Producers Push Back Against Prevent-Plant Coverage Elimination

The new rule removes prevented-plant buy-up coverage, prompting strong objections from farm groups concerned about added risk exposure.

crop insurance priorities 1280.jpg

NASHVILLE, TENN. (RFD-TV) — U.S. farmers are reacting sharply to a new Federal Crop Insurance Corporation rule that would eliminate the long-standing “+5” buy-up option for prevented planting coverage, a change embedded within a broader regulatory package meant to update and streamline crop insurance policies.

The final rule — published November 28 under the “One Big Beautiful Bill” Act (OBBBA) — clarifies harvest price methodology, moves certain regional dates to Special Provisions, removes barriers to direct marketing, and updates quality-adjustment and claims procedures. But the removal of buy-up prevented-plant coverage is emerging as the most controversial portion.

Under the regulation, the eliminated buy-up would apply to crops with contract-change dates on or after November 30, 2025, meaning many 2026-planted crops will be affected. The Southwest Council of Agribusiness warns the provision appears to have been inserted by budget officials outside the USDA, estimating it would save $70 million while shifting substantial risk back onto already financially stressed producers.

The Council expects heavy opposition during the 60-day comment period and notes Congress could intervene before implementation. Producer organizations are urging farmers to file comments identifying the financial harm the change could cause amid weak margins and tightening credit conditions.

Farm-Level Takeaway: The new rule removes prevented-plant buy-up coverage, prompting strong objections from farm groups concerned about added risk exposure.
Tony St. James, RFD-TV Markets Specialist
Related Stories
Farm CPA Paul Neiffer explains how sequestration reduces ARC and PLC payments by 5.7 percent and what farmers should know when planning for payments.
USDA Under Secretary Richard Fordyce explains new crop insurance changes, including payment flexibility and expanded prevented planting coverage.
Supporters say mandatory country-of-origin labeling would improve transparency, while analysts say the proposal still faces hurdles.
The setback leaves the 2018 Farm Bill operating under its third consecutive extension. That authorization expires September 30.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Longer feeding periods and weaker boxed beef prices are adding pressure to cattle markets.
Nearshoring and supply chain transparency are reshaping sourcing decisions for apparel brands.
USDA’s Economic Research Service says upstream agricultural activity produced $570 billion in output and contributed $241 billion to gross domestic product in 2017.
USDA says stronger cattle markets helped drive pasture values higher than cropland in 2026.
The Federal Reserve Bank of Minneapolis reports district hemp plantings fell about 85 percent from their 2019 peak by 2025.
USDA price-index data shows the producer index for all potatoes fell 14.5 percent from last year and 18.2 percent from five years ago.