USDA PROVIDES CROP INSURANCE FLEXIBILITY

Staff Report

NORTH DAKOTA- U.S. Department of Agriculture’s (USDA) Risk Management Agency (RMA) has authorized emergency procedures and issued new flexibilities for crop insurance providers to help ensure quick and fair adjustments and payments to producers. Hoeven pressed for this flexibility during his recent drought tour with RMA Acting Administrator Richard Flournoy, and it comes as part of the senator’s efforts to help producers weather severe drought conditions in North Dakota. Specifically, USDA is:

·       Allowing insurance companies to accept delayed notices of loss in certain situations.

·       Simplifying paperwork requirements for producers filing claims.

·       Providing flexibility on requirements for representative crop samples when damage is consistent.

·       Continuing to streamline the large indemnity review process to help prevent delays in producer payments while maintaining program integrity.

“Our producers are facing significant losses due to the widespread, severe drought in our region, and they need timely insurance payments to help maintain their operations and cover their costs,” Senator John Hoeven said. “We worked to advance this guidance and additional flexibility to help ensure adjustments can be made quickly and farmers won’t face delays. We appreciate RMA Acting Administrator Flournoy for working with us on this priority and heeding the feedback provided by North Dakota’s producers.”

Following Flournoy’s visit to North Dakota earlier this month, RMA announced it will allow producers to hay, graze or chop cover crops on prevented plant acres at any time while still receiving their full crop insurance indemnity. Prior to this, producers would face a penalty for haying, grazing or chopping cover crops on prevented plant prior to November 1.

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