New crop insurance tools

U.S. Agriculture Secretary Mike Johanns unveiled two new risk management tools for pasture, rangeland and forage, beginning with the 2007 crop year.

“These new insurances tools will help farmers and ranchers, especially with operations located in drought impacted areas, to improve their risk management capabilities,” Johanns said. The products utilize new technology to determine when a producer has suffered a loss.

The Rainfall index insurance program and the Vegetation index insurance program are both offered through the Risk Management Agency. The Rainfall program will be pilot tested in 220 counties in Colorado, Idaho, Pennsylvania, South Carolina, North Dakota and Texas. The Vegetation program will be pilot tested in 110 counties in Colorado, Oklahoma, Oregon, Pennsylvania, South Carolina, and South Dakota. Both will be available for sale from crop insurance agents beginning in late August. The sales closing date is Nov. 30.

More information is available from RMA Web site at: http://www.rma.usda.gov/policies/pasturerangeforage/.

Topics Agribusiness