Whole-Farm Revenue Protection insurance will be available in every county in the nation in 2016. The U.S. Department of Agriculture (USDA) is also making changes to the policy to help farmers and ranchers with diversified crops including beginning, organic, and fruit and vegetable growers, better access Whole-Farm Revenue Protection.
Whole-Farm Revenue Protection insurance allows producers with limited access to a risk management safety net, to insure all of the commodities on their farm at once instead of one commodity at a time.
USDA’s Risk Management Agency (RMA) introduced the Whole-Farm Revenue Protection pilot program for the 2015 insurance year. Starting with the 2016 insurance year, the new program will be available in all counties in the United States, a first for the federal crop insurance program.
USDA also provided additional flexibility to producers by making the following changes, including:
• Beginning Farmers and Ranchers – RMA makes it easier for more beginning farmers and ranchers to participate in the program by reducing the required records from five to three historical years, plus farming records from the past year. Additionally, any beginning farmer and rancher may qualify by using the former farm operator’s federal farm tax records if the beginning farmer or rancher assumes at least 90 percent of the farm operation.
• Livestock Producers – RMA removed the previous cap that limited participants to those who received 35 percent or less of their income from livestock production. Producers will now be able to insure up to $1 million worth of animals and animal products.
• Expanding Operations – RMA increased the cap on historical revenue for expanding operations to 35 percent from its previous 10 percent to better allow growing farms the opportunity to cover their growth in the insurance guarantee.
To learn more about programs offered by the Risk Management Agency see: Risk Management Agency, or contact a local crop insurance agent.
