Potential Huge Crop Insurance Losses Resulting From Drought

The Midwest drought in the USA during the summer of 2012 could possibly result in crop insurance losses of $13 - 20 billion!  The drought has been hammering farmers all over the heartland of America, and even though it has shown signs of letting up and giving much needed relief it has not come soon enough for many.  The lack of water and rain to provide to their acres of crops has caused many sleepless nights and hope for government loans or crop purchasing programs.

These figures recently came from disaster modeler AIR Worldwide, and they mention that even with government subsidies and recoveries, crop insurers could still be anywhere from $1 billion to $3 billion in the hole when all is said and done!  Farmers who have purchased yield shortfall insurance should be able to survive unscathed, but the insurers will take a major hit from this drought.  

Corn and soybean crop losses are expected to surpass the 1988 drought with regards to overall numbers. The 1988 drought was the most severe in the last 25 years until this year, resulting in $77.6 billion in losses adjusted for 2012 dollars.  Last year in Texas, agricultural losses were recorded at almost $8 billion with crop insurance losses of $2.5 billion, and this year is looking to be worse.   

Because of the hottest July on record, 2012 losses should easily surpass 1988.  Luckily, the signs are pointing to a much wetter season and with it a better growing season next year.  Hurricane Isaac is presently tracking to head up into the heartland of America and bringing with it incredible amounts of rain which will do wonders to the rain parched areas in that region.  Isaac is a slow moving storm, which leads to dropping more rain over a wider area, and it is also huge in breadth and width!  One storm will not completely break a drought, but it will provide immediate relief to those in its path.

The right produce ordering software and customer support online system can really help a company inject the right degree of technology into their business to help streamline it and create happier customers!  When a customer is able to go online and order directly from a produce distributors website it gives them a sense of empowerment knowing that they can order at any time and also be able to confirm their order before submitting it.  Good customer service is the lifeblood of any business!