Thanks Matt for the explanation of crop insurance. Farming is a business. You have got to know boths end to be successful. You work from sun up to sun down and now you have office work of crunching numbers. There is no more of just placing a seed in the ground, harvesting the crop and done.
Good job of explaining crop insurance to folks who dont farm, I think some people think that "insurance farmers" are widespread and prosperous but we know that any one who reguraly has low yields have very poor coverage and do not have a profitable business model
What a great video. I was uninsurable for many of my years farming due to being organic. I did have a non subsidized private insurance against total loss. When the derecho came through, I was fully govt insured, but we were very lucky compared to our counterparts in Iowa. Their is some business strategy to farming and risk management. I could not farm with operating loans for the longest time, but now I do. Here is why. Our farm is set up as multiple LLC’s. We take those loan proceeds and distribute it among all of them. If we have a year that required making claims, and those claims are insufficient to cover our loan repayment, we can capitalize on any emergency relief that may come along in the form of debt relief / forgiveness. They don’t want a bunch of land ending up on the auction block. It would erode the collateral of the entire agricultural banking system. They will bail you out. It is not wise to be a cash is king big wig. Keep the farm broke, and the pot of LLC’s very rich. Also, by having every aspect of the over all enterprise walled off, every step of production can be quickly and easily stress tested and analyzed, and adjustments made. You don’t want your schedule F to be what determines how well you are doing. Dave Ramsey doesn’t know sh!t about being successful. He knows how to extract money from idiots, who really are over all better off for following his advice. But they are low and middle levels workers. Ramsey “don’t” know sh!t about farming.
Very interesting! They sure make stuff complex when it doesn't really have to be. Praying for a decent harvest... what a rough year for a lot of farmers...
Good explanation. Make sure when you add a new database to your policy that you mark added land or added practice type variety on your acreage report as you can’t always correct later on.
Sorry that’s not something that I can really discuss intelligently. I understand the concept behind it and have dabbled in it a little bit but I’m sure there’s far better resources than me on the subject
@@griggsfarmsllc Yeah, there are some option trading videos on UA-cam, but none really can predict the option price. If people traded it purely for crop insurance purpose I think it would be perfect for this year. The risky part is that people trade it as gambling rather than a tool to protect the loss of crops. Your previous video mentioned a bit on it. In theory it should be not complicated as the crop insurance. I understood your concern. Thanks for all of efforts you put into videos.
@@wolfman266 options can be a way to add a few cents per bushel to your final price…if you can predict the way the market is going to move. Otherwise it’s just money wasted. There’s only been a few times that I’ve felt confident enough in the direction of the market to buy options, usually when I’m confident that the USDA is not accurate in their numbers and will correct in future reports
Love the video’s with the inner workings of running a farm, I truly learn a lot. Thank you Matt for doing this. Oh I have one question about DD60s please. If the weather for a day is a high of 85/60 the low. How many DD60S would that be sir??
thanks matt for taking time out to explain this .
Thanks Matt for the explanation of crop insurance. Farming is a business. You have got to know boths end to be successful. You work from sun up to sun down and now you have office work of crunching numbers. There is no more of just placing a seed in the ground, harvesting the crop and done.
THANKS Matt! Very informative
Thanks for the crop ins. talk,it was great. I learned a lot. GOD BLESS
As one of those who asked for this content - THANKS. Well done.
Ask and you shall receive. Lol
great explanation and gives us city folks a much better understanding of how a farmer survives. Thanks. Bless you all. John Scott.
Good job of explaining crop insurance to folks who dont farm, I think some people think that "insurance farmers" are widespread and prosperous but we know that any one who reguraly has low yields have very poor coverage and do not have a profitable business model
Very well explained. Thank you for taking the time to explain.
Thank you for the explanation. I have wondered for years how crop insurance worked.
Thank you, love your videos
You are doing a great great job explaining how corp insurance works.
Great Job 👏 🤗👍
Love your videos call spencer warden.
It's definitely not a get rich deal. Just makes it so you'll be able to farm next year. Great video very informative.
Yep. No insurance is meant to make someone whole in the event of a claim
What a great video. I was uninsurable for many of my years farming due to being organic. I did have a non subsidized private insurance against total loss. When the derecho came through, I was fully govt insured, but we were very lucky compared to our counterparts in Iowa.
Their is some business strategy to farming and risk management. I could not farm with operating loans for the longest time, but now I do. Here is why. Our farm is set up as multiple LLC’s. We take those loan proceeds and distribute it among all of them. If we have a year that required making claims, and those claims are insufficient to cover our loan repayment, we can capitalize on any emergency relief that may come along in the form of debt relief / forgiveness. They don’t want a bunch of land ending up on the auction block. It would erode the collateral of the entire agricultural banking system. They will bail you out. It is not wise to be a cash is king big wig. Keep the farm broke, and the pot of LLC’s very rich.
Also, by having every aspect of the over all enterprise walled off, every step of production can be quickly and easily stress tested and analyzed, and adjustments made. You don’t want your schedule F to be what determines how well you are doing.
Dave Ramsey doesn’t know sh!t about being successful. He knows how to extract money from idiots, who really are over all better off for following his advice. But they are low and middle levels workers. Ramsey “don’t” know sh!t about farming.
Very interesting! They sure make stuff complex when it doesn't really have to be. Praying for a decent harvest... what a rough year for a lot of farmers...
Good explanation. Make sure when you add a new database to your policy that you mark added land or added practice type variety on your acreage report as you can’t always correct later on.
Add Quality Loss(QL) to your policy so if you do have a quality issue it won't impact your Actual Production History(APH)
Yes we do have an outbreak of insurance farmers. It is very detrimental to most small farmers...
Thanks for all of your informative and educational videos. Could you talk about cotton options trading due to this year dramatic price fluctuations?
Sorry that’s not something that I can really discuss intelligently. I understand the concept behind it and have dabbled in it a little bit but I’m sure there’s far better resources than me on the subject
@@griggsfarmsllc Yeah, there are some option trading videos on UA-cam, but none really can predict the option price. If people traded it purely for crop insurance purpose I think it would be perfect for this year. The risky part is that people trade it as gambling rather than a tool to protect the loss of crops. Your previous video mentioned a bit on it. In theory it should be not complicated as the crop insurance. I understood your concern. Thanks for all of efforts you put into videos.
@@wolfman266 options can be a way to add a few cents per bushel to your final price…if you can predict the way the market is going to move. Otherwise it’s just money wasted. There’s only been a few times that I’ve felt confident enough in the direction of the market to buy options, usually when I’m confident that the USDA is not accurate in their numbers and will correct in future reports
Well is your son going to help you from now on I like the way that you explain stuff
Love your video call Spence warren Hopkinsville his shop will work on your 12 year truck
Great info. Thanks for all you do.
I think next year should be all cotton and invest in a baler picker. I feel like cotton is going to end up doing better than anything else.
Love the video’s with the inner workings of running a farm, I truly learn a lot. Thank you Matt for doing this. Oh I have one question about DD60s please. If the weather for a day is a high of 85/60 the low. How many DD60S would that be sir??
12.5
@@griggsfarmsllc ok thank you, didn’t know if it got to a certain temp that DD60S wouldn’t count etc
@@lancemabry6707 nothing below 60 degrees counts
In-surance lol