What is ACRE?
The American Coalition for Rural Engagement (ACRE) is a newly-formed education and advocacy group, created to protect the vital interests of American producers and rural communities by advocating for the U.S. crop insurance program.
ACRE will act as a powerful proponent for rural America, farmers and ranchers, and their families. Together, we can make our voices heard in Washington and help direct policy in a way that strengths crop insurance.
Who Can Join ACRE?
Anyone can join ACRE. Membership is open to everyone who wishes to advocate for and learn more about agricultural and rural issues at the political level. Though ACRE was founded by AgriSompo, agents, employees, and policyholders of other crop insurance providers are welcome.
Those with a particular interest in joining ACRE might include:
- Farmers and Ranchers: Those actively engaged in agriculture, as they have firsthand experience and expertise in the industry's challenges and opportunities.
- Agricultural Business Owners: Individuals who own or operate businesses related to agriculture, such as crop insurance agents, suppliers, processors, and distributors.
- Agricultural Workers: Farmworkers, laborers, and other employees within the agricultural sector who want a say in policy decisions affecting their livelihoods.
- Rural Community Members: Residents of rural areas who recognize the importance of a thriving agricultural industry in their regions.
- Agricultural Researchers and Educators: Academics and professionals involved in agricultural research, education, and extension services who can provide valuable insights and data.
- Supporters of Agricultural Causes: Individuals who are passionate about promoting sustainable agriculture, food security, and rural development.
How Can I Join?
To join ACRE, simply click here and fill out the forms provided. Your $25 annual membership fee includes the following benefits:
- A full-color, keepsake lapel pin featuring the ACRE logo will be mailed to your home.
- Quarterly, informative, and insightful government affairs updates from the ACRE staff will be delivered to your email inbox.
- The chance to provide further support for ACRE’s ongoing initiatives by supporting our forthcoming political action committee.
What are ACRE’s Goals?
Your membership will help ACRE to educate officials and the public about the vial role crop insurance plays in the America economy.
Additionally, with your support we will work to promote policy which supports the growth, flexibility, and reach of crop insurance.
Why crop insurance? We understand the critical role that crop insurance plays in safeguarding the livelihoods of American farmers and ranchers and in ensuring food security for our nation. Protecting our ability to produce enough food to feed our own population is a component of our national defense. The crop insurance program affords all farmers the ability to keep farming the year after a natural disaster occurs. The premise of the crop insurance program affords our country one of the cheapest, most abundant food supply chains in the world.
ACRE strives to ensure this program remains a reliable safety net for those who depend on it. We are committed to continuously fighting to improve crop insurance effectiveness and maintain the highest standards of program stewardship to support the resilience and prosperity of our agricultural industry and rural America.
ACRE will focus its education and advocacy work around the following topics pertaining to crop insurance, among others:
Private Sector Involvement
The secret ingredient that makes the U.S. crop insurance program the envy of the world is the “three-legged stool” concept, in which taxpayers, farmers, and private insurers each play an indispensable role.
The taxpayer provides dollars to support affordable crop insurance by discounting the farmer’s premium and by paying for the administration and operating of the program. The farmer has skin in the game via a series of deductibles, meaning they can sustain a loss even if good farming techniques and efforts are fully employed. The private sector is invested with the risk that is assumed in the event of losses, thereby lessening the impact to the taxpayer when natural disasters occur.
ACRE will oppose cuts to this private sector delivery system that allows for the timely delivery and top-notch service offered today.
Crop Insurance Accessibility
Farmer discounts (the use of the term “subsidies” connotates a misbelief that farmers are getting checks in the mail) are vital. Any reduction in premium discounts will invariably change the buying habits of farmers, likely reducing levels of coverage. Depending on the level of a reduction, changes could price some farmers out of the program. We are against any cuts to the premium discounts that make crop insurance affordable.
Means testing is a theory that certain farmers should not be eligible for premium discounts either in part or at all based on income. Any change in the current premium discount will impact the participation of the program, possibly limit the availability of insurance, and adversely impact risk pools. ACRE is against any level of means testing within the crop insurance program.
An Actuarially Sound Program
The program is mandated by legislation to operate in an actuarially sound way. This is defined as the program over time running at a 100% loss ratio to gross written premium. The industry assumes the majority of the risk associated with the program and relies upon the RMA to assure the program operates within this confine. We are against any legislation that would threaten the actuarial soundness of the program.
Efforts to Simplify and Optimize the Program
We are aware of the complexity of the current crop insurance program. We support a legislative mandate that the RMA work with crop insurance providers to simplify and optimize the program.
Opposition to Ad Hoc Payments
Ad hoc disaster payments are another method of supporting farmers when unforeseen disasters occur. However, ad hoc disaster payments are not reliably available when the farmer is truly in need, which is a main reason crop insurance and higher levels of coverage have gained in prominence over the last two decades. Crop insurance is a predictable and reliable mechanism to provide collateral support for agricultural lending, unlike ad hoc disaster payments, which by their very nature cannot be used to support farmer financing.
How Can I Learn More about ACRE?
Click here to download our brochure. If you still have questions, please email ACRE@sompo-intl.com.
Click here to become a member. Once you’re a part of ACRE, you will receive a quarterly newsletter detailing the work we’ve done and our plans for the future.