A neighboring state has taken over the nation’s largest crop-insurancecompany. Acceptance Insurance Companies took a huge hit this year because ofdrought in Nebraska, a dry spell that in some regions was worse than anyyear during the Dust Bowl. On Monday of this week, Acceptance announced itwas laying off 725 employees after a deal to sell the company fell through.Acceptance had been talking with “Rain and Hail L-L-C” to buy the cropinsurance corporation, but the Iowa company backed out of the deal duringthe weekend because of concerns raised by federal regulators. AlthoughAcceptance Insurance moved to Council Bluffs, Iowa, last year, it is stillbeing regulated by the state of Nebraska. After the deal fell through andthe firm announced plans for the mass firings, the Nebraska department ofinsurance took over Acceptance and has ordered it to honor crop-insurancecontracts it holds but not take any new ones.
