As the claims come in from the 2012 drought, farmers and
ranchers across the country are receiving indemnity payments for
the losses they have incurred. As of Feb.18, 2013, more than
$14.7 billion has been sent to farmers. In 2012, farmers
invested more than $4.1 billion to purchase more than 1.2
million crop insurance policies, protecting 128 different crops.
Crop insurance policies protect more than 281 million acres of
planted land. Farmers have spent $28.6 billion out of their
pockets to purchase the protection of crop insurance in the past
decade. Currently, Illinois has the highest loss ratio in the
country at 3.23. Seventeen states have loss ratios exceeding
1.05 – meaning that for every $1 paid in premiums, companies are
paying out $1.05 in indemnities. These states include: Illinois,
Missouri, Kentucky, Nebraska, Iowa, Indiana, Kansas, South
Dakota, New Mexico, New Hampshire, New York, Wisconsin, Texas,
Colorado, Massachusetts, Tennessee and Wyoming. Nationally, the
loss ratio is 1.33. Source: Nation