Millions in damages from 2020 Derecho coming out of farmers’ pockets


Via Flickr

Elizabeth Miglin | July 28, 2021

The derecho and drought last year destroyed $802 million in corn, soybeans and pastures with farmers absorbing nearly one-third of the losses, according to a new report.

The American Farm Bureau Federation is lobbying congress for additional disaster aid for US growers due to insurance being unable to total cover the cost of damages. Federal crop insurance covered $560 million in losses leaving $243 million in damages farmers were responsible to pay for out of pocket. 

Across the country, damages caused by natural disasters totaled $6.5 billion last year. Federal crop insurance is only able to cover around $2.9 billion in losses with $3.6 left to farmers. Farm Bureau crop damage estimates do not include other ag losses such as loss of livestock or additional equipment costs farmers experienced. Regardless, it was the fourth-most expensive year of natural disasters since 1980, according to the National Oceanic and Atmospheric Administration

The derecho’s powerful winds reached 140 mph on August 10 as it traveled 770 miles across eight states. While most of the damages to homes, businesses and farmers centered in Iowa and Illinois, total damage reached $11.5 billion. 

U.S. Representatives Cindy Axne, D-Iowa, and Randy Feenstra, R-Iowa, voted in favor of an $8.5 billion disaster bill to provide coverage for the derecho and other high wind events which the House agriculture committee approved Tuesday according to the Des Moines Register. The bill would provide assistance to farmers and ranchers seeking natural disaster assistance for last year and 2021. 

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