Tag Archives: Insurance

IF YOU GROW CORN OR TOMATOES…..!!

If you grow CORN or TOMATOES and have crop insurance ! one final REMINDER! JUNE 10TH is the final planting date for corn and tomato crop insurance policies. If you have corn or tomato crop insurance policies be sure to get your crops in the ground before the June 10th deadline or you may be subjected to late planting production guarantee reductions!

 

Advertisements

June 10th Crop Insurance Final Planting Deadline!

JUNE 10TH is the final planting date for corn and tomato crop insurance policies. If you have corn or tomato crop insurance policies be sure to get your crops in the ground before the June 10th deadline or you may be subjected to late planting production guarantee reductions!

Maximizing the Benefits of Your Crop Insurance Policy

Your “Summary of Protection” or “Schedule of Insurance” should have arrive with in a few weeks of you filed your acreage report. It reflected the information on which your 2012 protection is based.  Compare it to your acreage report to make sure that it is correct.  If there are discrepancies, contact your insurance agent immediately to get it corrected, otherwise it could adversely affect your premium bill and/or claim payment.

Reminder and Guidance on Reporting Damage or Loss:  Crop damage or loss reporting for the insurance policy for most crops requires that written notice be given to your crop insurance agent (by crop by unit (farm)):

  • Within 72 hours of discovery of damage or loss,
  • 15 days before harvest begins **, and
  • Within 15 days after harvesting is completed but not later than 10/20 for corn harvested as silage; 12/10 for grain corn and soybeans.
  • A pre-harvest appraisal is required for most direct marketed crops
  • Don’t destroy evidence of damage until a loss adjuster evaluates it!

 

**Prior Authorization is Required to Leave Sample Rows for Yield Determination:  If loss adjusting workload does not permit appraising damaged crop acreage before you are ready to start cutting silage, prior authorization must be obtained from your insurance company, through your crop insurance agent, before sample row areas can be left for later yield determination.   For this reason, it’s important that notice of damage be filed with your crop insurance agent as early as you determine that damage occurred so that harvesting is not delayed.

 

Cutting Damaged Corn for Silage:  If you plan to cut damaged grain type corn for silage, it’s important that the grain content be determined before harvesting regardless of whether you insure on a tonnage or grain yield basis.  If you insured on a grain basis, a loss is determined by comparing the revenue or yield guarantee to the appraised yield (times the October CBOT average price for the December contract for revenue protection).  If you insured and harvest on a tonnage basis and your grain content is significantly below normal (less than 4.5 bushels per ton), the grain content appraisal becomes the basis for quality adjustment which may reduce the amount of silage tonnage that counts against your guarantee.

Additional details are available from a crop insurance agent.

Verifiable Record Requirements to Qualify for Fresh Apple Production by Unit….. From the USDA and RMA

BULLETIN NO.: MGR-11-015

TO: All Approved Insurance Providers

All Risk Management Agency Field Offices

All Other Interested Parties

FROM: William J. Murphy /s/ William J. Murphy 11/7/2011

Administrator

SUBJECT: Verifiable Record Requirements to Qualify for Fresh Apple Production by Unit.

BACKGROUND:

On December 22, 2010, the Risk Management Agency (RMA) issued Informational Memorandum PM-10-071 to provide flexibility for policyholders to adapt their record keeping process to meet the new requirement that at least 50 percent of the production from fresh apple acreage in each unit was sold as fresh apples in one or more of the four most recent crop years in order to qualify for the fresh apple price. Approved Insurance Providers (AIPs) were allowed to consider records of total production (rather than by unit) from the 2007 through the 2010 crop years that reflect fresh apple sales.

Since the issuance of Informational Memorandum PM-10-071, RMA has continued to receive comments that apple producers still find it too difficult and inappropriate to maintain separate records by unit after the apple production has left the field. Apple producers point out that while they can and do maintain records of production by unit, once the apples are delivered to a warehouse, which is often a third party, for later sales and distribution it is virtually impossible and/or impractical to expect all the apples to be tracked by unit. Apple producers have requested RMA waive the new record requirement by unit for the 2012 and succeeding crop years by allowing them to provide records that demonstrate at least 50 percent of their total apple production was sold as fresh in order to qualify for the fresh apple price.

ACTION:

Effective for the 2012 and succeeding crop years, policyholders who do not have separate records by unit of fresh apple production in one of the last four years but do have records of total fresh apple production, may still be able to qualify for the fresh apple price. AIPs may consider records of total production (rather than by unit) from one of the four most recent crop years that reflect fresh apple sales. If only a portion of the acreage is reported as fresh, and the total amount of production sold as fresh can reasonably be determined to be reflective of at least 50 percent of the production that would have been from the apple acreage reported as fresh, such records may be used as verifiable records attributable to that portion of the acreage as fresh. Policyholders still must designate all their acreage by type (i.e. fresh or processing) by the acreage reporting date.

The AIPs should remind their agents and inform their policyholders that by designating fresh apple acreage on the acreage report, the policyholder is certifying they have verifiable records to support that they have sold in one or more of the four most recent crop years at least 50 percent of the total production as fresh apples (rather than by unit) from acreage reported as fresh apple acreage.

A verifiable record must reflect the value received was commensurate with the value of fresh apples versus processing apples. It is incumbent upon the policyholder to provide records, when requested, that demonstrate the value received for sold production is consistent with the value of fresh apple production. Section 16J(2) of the 2012 FCIC 18010 Crop Insurance Handbook provides guidance regarding what is considered an acceptable verifiable record.

The following examples illustrate the flexibility this action provides:

For example, for the 2012 crop year, a policyholder reports fresh apple acreage on three basic units. The policyholder is able to provide records proving at least 50 percent of the total production sold, from all three units, were sold as fresh apples in one or more of the four most recent crop years. Such records can be used as a verifiable record for all the fresh apple acreage for the 2012 crop year.

A second example would be for the 2012 crop year a policyholder reports two blocks of processing apple acreage and one block of fresh apple acreage in one basic unit. Records of fresh apple production sold from the entire unit can be used as a verifiable record provided the AIP can determine the records of total fresh apple production was sold in one of the four most recent years would reasonably account for at least 50 percent of the total fresh apple production from the block reported as fresh apple acreage for the 2012 crop year.

Agents should also be advised to remind policyholders that the prior years’ records used to certify fresh apple production become records that must be maintained for three years in accordance with the policy record retention requirements.

DISPOSAL DATE:

Effective for the 2012 and succeeding crop years or until incorporated into the Apple Special Provisions of Insurance.