CROP INSURANCE and REINSURANCE BUREAU, INC
201 Massachusetts Avenue, NE Suite C5 • Washington, DC 20002
For more information contact Mike Torrey at (202) 544.0067.
November 28th, 2011
CIRB Statement on USDA Rating Methodology
Washington, DC, November 28, 2011—The Crop Insurance and Reinsurance Bureau (CIRB) released the following statement today:
"As providers of crop insurance and jobs across rural America, the member companies of the Crop Insurance and Reinsurance Bureau (CIRB) expressed concerns about USDA’s announcement today regarding the implementation of a new rating methodology for setting corn and soybean crop insurance premiums. While CIRB appreciates that the novel methodology proposed in August was not fully adopted, CIRB remains concerned about implementing certain rating adjustments in 2012—at a time after providers have made business decisions for the upcoming crop year, have already submitted business plans to the Risk Management Agency for approval, and during the period in which providers are in the process of acquiring commercial reinsurance.
CIRB supports an actuarially sound crop insurance program and urges USDA to consider all consequences—technical, operational, and programmatic—in a transparent manner as it moves forward with any evaluation of additional rating methodology changes.
CIRB looks forward to working with USDA to address the risk management needs of our nation’s producers while maintaining a sound and healthy private sector delivery system."
About CIRB:
The Crop Insurance and Reinsurance Bureau, Inc., (CIRB) is a national trade association representing crop insurance companies, reinsurance companies and other organizations that lend support to the federally reinsured crop insurance program. CIRB members write policies in nearly every state and provide billions of dollars in federally reinsured Multiple Peril Crop Insurance (MPCI) protection.
Contact:
Michael Torrey, Executive Vice President
Crop Insurance and Reinsurance Bureau, Inc.
201 Massachusetts Ave, NE Suite C-5
Washington, DC 20002
202-544-0067 (phone)
Email:mtorrey@torreydc.com