PRODUCT MANAGEMENT BULLETIN: PM-21-071
November 30, 2021
All approved insurers
All Risk Management Agency field offices
All other interested parties
Richard H. Flournoy, Deputy Administrator / s / John W. Underwood for 11/30/2021
Regional Risk Protection Insurance Regulations, Common Crop Insurance Policy Basic Provisions, Subpart R, Sunflower Seeds, Coarse Grains and Dry Beans Amendments in effect for crop years 2022 and following
The Federal Crop Insurance Corporation (FCIC) has amended Subpart R of the General and Administrative Rules – Administrative Remedies for Non-Compliance (Subpart R); Zone Risk Protection Insurance Regulation (ARPI); Common Crop Insurance Policy (CCIP), Basic Provisions; Common Regulations on Crop Insurance, Sunflower Seed Crop Insurance Provisions (Sunflower Seed Crop Provisions); Common Crop Insurance Regulations, Coarse Grains Crop Insurance Provisions (Coarse Grains Crop Provisions); and Common Crop Insurance Regulations, Dry Bean Crop Insurance Provisions (Dry Bean Crop Provisions) with the following modifications:
Revise the cap on civil fines, monetary penalties for those who willfully and intentionally provide false or inaccurate crop insurance information, to refer to USDA ministerial regulations which are systematically adjusted for inflation.
CCIP and ARPI basic provisions
Review the definitions of âbuffer zoneâ, âcertified organic areaâ, âcover cropâ, âpracticed organic farmingâ, âsecond cropâ and âtransition areaâ.
Add the definitions of âNAPâ (the Uninsured Agricultural Disaster Assistance (NAP) program, offered by the Farm Service Agency) and âvoluntary harvestâ.
Basic provisions of the CCIP
Provide an option to delay measurement of production stored on the farm for 180 days through special provisions.
Authorize haymaking, grazing or cutting of a cover crop for silage, wrapped silage or silage without reduction of a prevented planting payment. A reduction in payment will apply if the cover crop is harvested at any time for grain or seed.
Remove the reduction in the payment for prevented plantings on the acreage that was prevented from planting and later in cash rented.
Add new flexibilities for the “1 in 4” rule for prevented planting, including:
Take into account the annual regrowth of perennial crops to be considered as planted.
Allow NAP to meet insurance requirements as well, as well as flexibility for situations where neither crop insurance nor NAP is available.
Allow business and facultative units by type for sunflower seeds.
Update the examples in the policy to reflect current market prices for a more accurate representation of the prices producers are facing.
Revise the definition of âharvestâ to include earlage and snaplage as a harvested crop.
Clarify that a notice is required before harvesting begins if a grower decides to harvest in a manner other than that stated in their area report (such as harvesting grain as silage or vice versa) so that the expert can assess the acreage to determine the effective production used for claim purposes.
Clarify that a separate business unit for seeds from contract seeds is allowed when seeds from contract seeds are listed as a type in county actuarial records.
Remove wording that restricts seed seed contracts based on both acreage and production to be eligible for a separate business or optional unit.
A final rule with these changes published in the Federal Register on November 30, 2021. FCIC invites you to submit your comments on this rule until the close of business on January 31, 2022, on Regulations.gov.
The following documents will be available at the close of business today on the RMA website atwww.rma.usda.gov:
Zone Risk Protection Insurance Regulation (22.1-ARPI)
Basic provisions of the common crop insurance policy (22.1-BR)
Provisions for Sunflower Seed Crops (22-0078)
Arrangements for Coarse Grains Crops (22-0041)
Provisions Relating to Dried Bean Crops (22-0047)
Coarse Grains Fact Sheet
Frequently Asked Questions About Covering Inhibited Plantations
Preventive Planting Standards Manual (FCIC-25370)
Licensed insurers must notify policyholders of these changes at least 30 days prior to the date of termination, as required by the policy.
Interested growers should contact a crop insurance agent for more information. A list of agents is available on the RMA website atwww.rma.usda.gov/Information-Tools/Agent-Locator-Page.
December 31, 2022
RMA – Risk Management Agency published this content on November 30, 2021 and is solely responsible for the information it contains. Distributed by Public, unedited and unmodified, on November 30, 2021 08:40:06 PM UTC.