H.R. 3698

To amend the Federal Crop Insurance Act to limit the overall rate of return for crop insurance providers and remove the requirement of budget neutrality in the Standard Reinsurance Agreement.

Latest

I

115th CONGRESS

1st Session

H. R. 3698

IN THE HOUSE OF REPRESENTATIVES

September 7, 2017

Mr. Duncan of Tennessee (for himself and Mr. Kind) introduced the following bill; which was referred to the Committee on Agriculture

A BILL

To amend the Federal Crop Insurance Act to limit the overall rate of return for crop insurance providers and remove the requirement of budget neutrality in the Standard Reinsurance Agreement.

1.

Reinsurance

Section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)) is amended—

(1)

in paragraph (3)—

(A)

by striking (3) Share of risk.—The and inserting the following:

(3)

Risk

(A)

Share of risk

The

; and

(B)

by adding at the end the following:

(B)

Limitation on average rate of return

The target average rate of return for reinsured companies for the 2018 reinsurance year and each subsequent reinsurance year shall be 9.6 percent of retained premiums.

; and

(2)

in paragraph (8), by striking subparagraph (F).