Ken Ripley

So we're trying to change the narrative to use the word premium support because they're helping us keep the costs affordable.

We can't add more costs and more costs

Right.

The whole reason for crop insurance is to have a good food supply.

Because if we had to pay full rate on these products, say, for example, an 85% policy in Iowa, it has premium support of 56%.

Can you imagine paying over double of what you were?

Right.

So the difference is going to be so the premium supports the same across all counties, all crops, you know, no matter in the nation.

Now, the base rate is going to vary.

So if you're say in my region and say in the Dakotas where we get into some, you know, higher riskier ground, their rate with what I would pay in southern Minnesota and what they would pay for the same coverage in South Dakota is double, even with the same premium support of 56%.

So

For that reason, they buy lower coverages.

And their APHs aren't as strong.

I mean, let's face it, the better your APH, the cheaper your rate is.

Because you're a lower risk.

Your frequency of loss is going to be less.

And as a result, you have a high APH.

The higher the APH, the lower the cost.

So being a good farmer and doing good things, I mean, I don't want that to sound bad in areas that just don't have as good a ground.

It's not that they're doing a bad job.