Spring sales closing date near for crop insurance

[February 29, 2012]  SPRINGFIELD -- Brian Frieden, director of the Risk Management Agency regional office in Springfield, reminds producers that the sales closing date for spring-planted crops is March 15. Producers will not be able to purchase crop insurance, make coverage and policy changes, switch insurance providers, or cancel a policy after this deadline.

Most producers in Illinois, Indiana, Michigan and Ohio will see a premium rate reduction for corn and soybeans this year because of a change in the method RMA uses to set premium rates.

Corn and soybean producers will also have a new option that adjusts a producer's actual yield to reflect the yield increases because of improved production practices and crop genetics. This option, called the Trend-Adjusted Actual Production History, increases a producer's past yields based on the county's historical yield trend. Check with a crop insurance agent for details and to elect the Trend-Adjusted APH endorsement. A decision to use this endorsement must be made by March 15.

Projected prices for corn and soybean will be released in early March. These prices are based on the Chicago Board of Trade and are used for all coverage options. Prices for other crops are either established by RMA or, for some crops, the producer's contract price. Prices established by RMA can be viewed on the "Information Browser" at www.rma.usda.gov.

Frieden encourages producers to review their crop insurance options with their crop insurance agent by the March 15 deadline.

Producers who qualify as limited-resource farmers may have administrative fees waived. Crop insurance agents will assist the qualifying producers with determining eligibility for waivers.

[Text from file received from USDA Risk Management Agency, Springfield]