Looking to cut costs, feds explore slashing insurance subsidies

The amount of money that the government spends on expensive crop insurance subsidies has long come under criticism. This month, a federal report found that small cuts to premium subsidies could result in hundreds of millions of dollars in savings. The findings come as the national debt soars near $17 trillion, but farmers say the cuts would hurt business.

Cutting subsidies may plant financial doubt, make it harder to become a farmer

Congress and The President approved a nearly $1 trillion Farm Bill last week, effectively ending an uncertain period for the agriculture industry. While many farmers and ranchers are thankful that a bill has finally been passed, some believe the elimination of the direct payment subsidy program could hurt farmers’ chances of getting a loan. Others believe the elimination may make it harder for new farmers to break into the agriculture business, as well.