USDA Updates Livestock Disaster Payment Rate

USDA’s Farm Service Agency has updated the Livestock Indemnity Program payment.

The update will support livestock producers in the Midwest who have lost cattle to the extreme heat and humidity experienced this summer.

To help indemnify ranchers to reflect a trend towards higher cattle weights in feedlots, the 2023 Livestock Indemnity Program payment rate for beef calves over 800 pounds will increase from $1244 per head to $1618, an increase of $374.

The program provides benefits to livestock owners and some contract growers for livestock deaths exceeding normal mortality from eligible adverse weather events, certain predation losses and reduced sales prices due to injury from an eligible loss.

Indemnity payments are made at a rate of 75 percent of the prior year's average fair market value of the livestock.

The updated payment rate is effective immediately and will be applied retroactively starting January 1, 2023, for all eligible causes of loss, including excessive heat, tornado, winter storms, and other qualifying adverse weather.

Source: USDA