Largest U.S. crop insurance company folds
Farmers should see little effect
By Jerry W. Kram
Agweek Staff Writer
"The largest crop insurance company in the United States has been taken over by regulators, but farmers should see few effects from the collapse of American Growers Insurance Co.
The Nebraska Department of Insurance issued an Order of Supervision Nov. 25 because the company's reserves fell from $75 million to $11 million between Dec. 31, 2001 and Sept. 30. The order gives the agency veto power over most of the company's financial transactions and prohibits the company from issuing any new crop insurance policies.
Acceptance Insurance, through its subsidiaries American Growers and American Agrisurance, also known as AmAg, is the nation's largest provider of crop insurance. It held an estimated market share of 20 percent to 25 percent of all U.S. crop insurance policies. It was the first company to introduce Crop Revenue Coverage in 1996."...
"Drought casualty
Acceptance Insurance reported a $131 million loss in the third quarter of 2001. About half of those losses were attributed crop insurance losses because of widespread drought and other abnormal weather conditions."
http://www.grandforks.com/mld/agweek/4798332.htm
Charlie;
It is very interesting how the USDA still pays when these insurance issuers lost all this extra money.
How will this years’ drought in Alberta effect AFSC?
Will the Alberta government (treasury) kick in the extra, since it has been reaping the interest from the crop insurance surplus funds for many years?
Farmers should see little effect
By Jerry W. Kram
Agweek Staff Writer
"The largest crop insurance company in the United States has been taken over by regulators, but farmers should see few effects from the collapse of American Growers Insurance Co.
The Nebraska Department of Insurance issued an Order of Supervision Nov. 25 because the company's reserves fell from $75 million to $11 million between Dec. 31, 2001 and Sept. 30. The order gives the agency veto power over most of the company's financial transactions and prohibits the company from issuing any new crop insurance policies.
Acceptance Insurance, through its subsidiaries American Growers and American Agrisurance, also known as AmAg, is the nation's largest provider of crop insurance. It held an estimated market share of 20 percent to 25 percent of all U.S. crop insurance policies. It was the first company to introduce Crop Revenue Coverage in 1996."...
"Drought casualty
Acceptance Insurance reported a $131 million loss in the third quarter of 2001. About half of those losses were attributed crop insurance losses because of widespread drought and other abnormal weather conditions."
http://www.grandforks.com/mld/agweek/4798332.htm
Charlie;
It is very interesting how the USDA still pays when these insurance issuers lost all this extra money.
How will this years’ drought in Alberta effect AFSC?
Will the Alberta government (treasury) kick in the extra, since it has been reaping the interest from the crop insurance surplus funds for many years?