suppl supplemen emental cov coverage opt option on sc sco
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Suppl Supplemen emental Cov Coverage Opt Option on (SC (SCO) fo - PowerPoint PPT Presentation

Suppl Supplemen emental Cov Coverage Opt Option on (SC (SCO) fo for cr crop op in insu surance SCO is an endorsement to your regular multi peril crop insurance policy SCO is not available if you elected ARC SCO coverage uses


  1. Suppl Supplemen emental Cov Coverage Opt Option on (SC (SCO) fo for cr crop op in insu surance • SCO is an endorsement to your regular multi ‐ peril crop insurance policy • SCO is not available if you elected ARC • SCO coverage uses same coverage criteria as your underlying policy (yield or revenue) • SCO payments are triggered by a county loss • SCO has a 65% premium subsidy

  2. Supplemental 100 Coverage Option 90 86% 80 SCO covers part of the deductible on your 75% individual farm policy 70 Pct coverage level 60 SCO coverage starts at 86% of expected yield or revenue and goes down to the 50 guarantee on your individual policy 40 30 EXAMPLE: You have 75% coverage on your individual 20 farm policy. SCO covers the range from 10 75% up to 86%. 0 QUESTION: Farm policy SCO range How well do your farm yields track with the county yield?

  3. NAP NAP : N oninsured Crop Disaster A ssistance P rogram • Protects against natural disasters that result in lower yields or crop losses, or prevent planting • Eligible producer is a landowner or tenant who shares in risk of producing crop and is entitled to an ownership share of the crop • Eligible crops are commercially produced crops for which crop insurance is not available

  4. NAP NAP: Noninsured Crop Disaster Assistance Program • Coverage levels: • BASIC • 50% of expected production • 55% of expected price • Service fee only; no premium • ADDITIONAL • 50% to 65% of expected production • 100% of expected market price • Service fee + premium of 5.25% of insured value of production • Not available for grazing lands

  5. NAP NAP: Noninsured Crop Disaster Assistance Program • Reported acreage & production • NAP units similar to crop insurance “basic” unit: all eligible acres in county with same crop interest • Uses an Actual Production History (APH) method similar to crop insurance • Minimum of 4 years, maximum of 10 years of yield history • Non ‐ reported yields may get 65% of T ‐ yield

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