Data on Crop Insurance Discussed by Researchers at Montana State University (Reducing Costs of the Federal Crop Insurance Program: Stated Versus Realized Premium Subsidy Rates): Agriculture – Crop Insurance

2026 SEP 24 (NewsRx) -- By a News Reporter-Staff News Editor at Insurance Daily News -- Investigators discuss new findings in Agriculture - Crop Insurance. According to news reporting originating from Bozeman, Montana, by NewsRx correspondents, research stated, “Agricultural producers have access to numerous subsidized federal crop insurance products. A debate exists as to whether these products are used primarily for income transfers through premium subsidies and high loss ratios rather than for risk management.”

Financial support for this research came from Montana Agricultural Experiment Station (MAES).

Our news editors obtained a quote from the research from Montana State University, “We compare Risk Management Agency stated premium subsidies to realized premium subsidies to identify opportunities to reduce federal outlays. We find substantial acreage and crop insurance participation for certain crops even when income enhancement does not occur and verify the results using simulations.”

According to the news editors, the research concluded: “Substantial reductions in federal outlays can occur using crop- and region-specific reductions in realized subsidies while maintaining risk management opportunities.”

For more information on this research see: Reducing Costs of the Federal Crop Insurance Program: Stated Versus Realized Premium Subsidy Rates. Journal of Agricultural and Resource Economics, 2026;51(3):470-483. Journal of Agricultural and Resource Economics can be contacted at: Western Agricultural Economics Assoc, C, O Deevon Bailey, Utah State Univ, Economics Dept, 3535 Old Main Hill, Logan, UT 84322-3530, USA.

The news editors report that additional information may be obtained by contacting Gary W. Brester, Montana State University, Agricultural Economics and Economy Department, Bozeman, MT 59717, United States. Additional authors for this research include Joseph Atwood and Saleem Shaik.

The direct object identifier (DOI) for that additional information is: https://doi.org/10.22004/ag.econ.376278. This DOI is a link to an online electronic document that is either free or for purchase, and can be your direct source for a journal article and its citation.

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