Farmers growing crops not eligible for federal crop insurance may still receive finical assistance to protect against natural disaster damage or loss but must file for coverage of hay or pasture by March 15, 2015.
Other deadlines vary by crop. Call or stop by your Farm Service Agency office for more information.
The Noninsured Crop Disaster Assistance Program (NAP) is offered at your Farm Service Agency for crops that are commercially produced agricultural commodities for which crop insurance is not available such as pumpkins, strawberries or grapes, or crops planted and grown for livestock consumption or specialty crops such as honey.
NAP provides catastrophic level (CAT) coverage based on the amount of loss that exceeds 50 percent of expected production at 55 percent of the average market price for the crop. The 2014 Farm Bill authorizes additional coverage levels ranging from 50 to 65 percent of production, in 5 percent increments, at 100 percent of the average market price. This change in the program is a plus for producers. Not only do you have the opportunity to increase the production level to 65 percent but coverage is at 100 percent of the average market price. That’s a big improvement from the CAT coverage. Crops intended for grazing are not eligible for additional coverage.
For all coverage levels, the NAP service fee is the lesser of $250 per crop or $750 per producer per administrative county, not to exceed a total of $1875 for a producer with farming interests in multiple counties. Similar to Federal Crop Insurance, producers who elect additional coverage must pay a premium in addition to the service fee.
Beginning, limited resource, and traditionally underserved farmers are eligible for a waiver of the service fee and a 50 percent premium reduction. A beginning farmer is a person who has not operated a farm for more than 10 years and participates in the operation; Limited Resource farmer is one who earns no more than $176,800 in each of the two calendar years that precede the complete taxable year before the program year, to be adjusted upwards in later years for inflation, and has a total household income at or below the national poverty level for a family of four, or less than 50 percent of county median household income for both of the previous two year; Socially disadvantaged farmers are a member of a group whose members have been subject to racial, ethnic, or gender prejudice because of their identity as members of a group without regard to their individual qualities. These groups include American Indians or Alaskan Natives, Asians or Asian Americans, Blacks or African Americans, Native Hawaiians or other Pacific Islanders, Hispanics, and Women.