Insurers get an extra expense subsidy from the 2026 reinsurance year
What the document says“Beginning with the 2026 reinsurance year, and for each reinsurance year thereafter, in addition to the terms and conditions of the Standard Reinsurance Agreement, to cover additional expenses for loss adjustment procedures, the Corporation shall pay an additional administrative and operating expense subsidy to approved insurance providers for eligible contracts.”
The section adds a new paragraph (10) to section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)) requiring the Corporation, from the 2026 reinsurance year on and on top of the Standard Reinsurance Agreement, to pay approved insurance providers an additional administrative and operating expense subsidy on eligible contracts, to cover extra costs of loss adjustment.
What the document actually says“Beginning with the 2026 reinsurance year, and for each reinsurance year thereafter, in addition to the terms and conditions of the Standard Reinsurance Agreement, to cover additional expenses for loss adjustment procedures, the Corporation shall pay an additional administrative and operating expense subsidy to approved insurance providers for eligible contracts.”
From the 2026 reinsurance year insurers get an extra payment. It covers the cost of settling claims. It comes on top of the usual deal.
Loss adjustment is the work of checking and settling a claim. Only some contracts count. The next rules say which.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.