The federal crop insurance program, which helps protect agricultural producers from losses due to low crop yields or lower-than-expected crop prices, is one of the largest support programs for those producers. It cost the federal government $5 billion in 2016 and an average of nearly $9 billion annually over the past five years. Policymakers have faced questions about how to reduce those costs while maintaining appropriate support for agricultural producers.
This Congressional Budget Office report describes the structure of the crop insurance program, focusing on factors that influence its cost; discusses the government’s role in providing crop insurance; assesses how the program benefits various groups; and examines several policy options that would decrease spending on the program over the 2018–2027 period.
Source – https://www.cbo.gov