Old Structures and New Trends

A post on Grist attacking the new crop insurance pilot program, whereby farmers cut their premiums if they use certain Monsanto seed corn led me to interesting testimony before Congress on problems with crop insurance here.
Scott Marlowe is apparently based in North Carolina and makes interesting points:

"The fastest growing segments of North Carolina’s farm economy - livestock produced under
production contracts, specialty crops like greenhouse, nursery and Christmas trees, and emerging value-added markets such as organic and specialty livestock - are all underserved, if served at all, by current crop insurance programs. We are moving rapidly from crops with extensive risk management and disaster programs to enterprises with ineffective or no risk management."

"The challenge for crop insurance is that the emerging markets and differentiated products do not come with the uniformity and automatic data collection that provides the underpinning of conventional commodity crop insurance. The very aspects of these markets that make them vibrant and exciting and profitable – the ability to respond quickly to a wide variety of specific niches of quality and production – are the same aspects that make it extremely difficult to program for them. The traditional product development approach of developing a crop specific
risk profile and then releasing a crop-specific insurance product is unable to address the diversity of emerging products, enterprises and markets."

Organic producers pay a 5 percent surcharge for crop insurance, but get coverage at conventional prices, not the premium prices they can command.

I wonder--will private insurers independent of RMA fill these gaps, as free-marketers would expect, or does the RMA/private colossus preempt such innovation?