Specialty Crop Growers to Get Better Insurance

John Davis

usda-logoGrowers of fruits, vegetables and other specialty crops will get some better protection courtesy of the U.S. Department of Agriculture (USDA). This USDA news release says the agency will now provide greater protection from the Noninsured Crop Disaster Assistance Program for crops that traditionally have been ineligible for federal crop insurance as part of the 2014 Farm Bill.

“These new protections will help ensure that farm families growing crops for food, fiber or livestock consumption will be better able to withstand losses due to natural disasters,” said [Agriculture Secretary Tom] Vilsack. “For years, commodity crop farmers have had the ability to purchase insurance to keep their crops protected, and it only makes sense that fruit and vegetable, and other specialty crop growers, should be able to purchase similar levels of protection. Ensuring these farmers can adequately protect themselves from factors beyond their control is also critical for consumers who enjoy these products and for communities whose economies depend on them.”

Previously, the program offered coverage at 55 percent of the average market price for crop losses that exceed 50 percent of expected production. Producers can now choose higher levels of coverage, up to 65 percent of their expected production at 100 percent of the average market price.

The expanded protection will be especially helpful to beginning and traditionally underserved producers, as well as farmers with limited resources, who will receive fee waivers and premium reductions for expanded coverage. More crops are now eligible for the program, including expanded aquaculture production practices, and sweet and biomass sorghum. For the first time, a range of crops used to produce bioenergy will be eligible as well.

More information on the expanded Noninsured Crop Disaster Assistance Program is available through an online tool, available at www.fsa.usda.gov/nap.

Insurance, USDA