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RCED-83-114 1 (1983-03-09)

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BY THE U.S. GENERAL ACCOUNTING OFFICE



Report To The Honorable Bill Alexander

House Of Representatives





Information On The Federal

Crop Insurance Corporation's 1983

Standard Reinsurance Agreement


The Federal crop insurance program is the
primary disaster assistance program offered
farmers by the Department of Agriculture.
The program is available through the com-
bined services of the private insurance in-
dustry and the Department's Federal Crop
Insurance Corporation.
The Corporation, under a Standard Reinsur-
ance Agreement, reinsures a private insur-
ance company; that is, it protects a company
from a part of the risk associated with
insuring crops. The Agreement specifies
how gains or losses are to be allocated
between a company and the Corporation.
This report answers a series of questions
asked by Congressman Alexander on
changes made to the 1983 Standard Rein-
surance Agreement.






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             .                                          GAO/RCED-83-114
                                                          MARCH 9,1983


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