The Risk Management Agency (FSA) recently announced a pilot program that offers a CAT level Rainfall Index-Annual Forage Insurance Plan to producers in Texas, Kansas, Nebraska, North Dakota, Oklahoma and South Dakota.
Because there is limited time for producers in these states to transition from NAP to the new RMA pilot program, an exception was made that will allow the states to continue offering NAP coverage for 2014. However, NAP coverage will not be available for 2015 annual forage crops.
Eligible producers can apply for 2014 NAP coverage at the Karnes County FSA Office using form CCC-471, Application for Coverage. Producers must file the application and service fee by the deadline of July 15 for fall seeded crops and December 15 for crops planted in the spring. The service fee is the lesser of $250 per crop or $750 per producer per administrative county, not to exceed a total of $1,875 for a producer with farming interests in multiple counties.
Producers who meet the definition of a limited resource, socially disadvantaged or beginning farmer or rancher can request a waiver of the service fee.
NAP provides financial assistance to producers of noninsurable crops when low yields, loss of inventory or prevented planting occur due to normal disasters.
"The easiest way for producers to protect their investment is to purchase an insurance policy," said Kelley. "The past few years have proved that natural disasters are unavoidable, and producers can recover if they take the necessary precautions to mitigate risks."
For more information about NAP, please contact the Karnes County FSA office at 830-583-3224 or visit www.fsa.usda.gov.