Brownfield Ag News spoke to Bill Murphy, head of the USDA Risk Management Agency, about the expected heavy drought claims from farmers. Murphy says there’s plenty of money available to cover the losses.
“We could have every policy in the country have a complete loss and we have the funding to do it,” said Murphy. “The companies themselves, they share in the risk on our program; they are well financed right now. They’ve come off a good run of years. The last 10 to 15 years have been pretty amazing nationwide, so the companies have had good years, so they’re in very good financial condition, so I don’t see any problem.”
You can listen to the full interview with Murphy at Brownfield’s website.