Decisions await farmers with crop insurance
Indiana farmers who insured their 2008 crops have decisions to make if recent floods damaged their cropfields, said a Purdue University Extension agricultural economist.
“In some instances, farmers may not have been able to plant their original crop in a timely manner, and in other instances farmers have lost crops due to flooding,” George Patrick said. “These producers, if they have followed good farming practices, may be eligible for different crop insurance benefits depending on the type of insurance they have and their individual circumstances.”
Producers prevented by weather from planting their intended crops on time have three options, Patrick said.
“They can go ahead and plant the original crop even though the yield may be reduced,” he said. “Second, they can plant an alternative crop, such as shifting from corn to soybeans. Or third, they can abandon the acreage and take a prevented planting payment.”
Multiple peril crop insurance plans based on a producer’s Actual Production History (APH), Crop Revenue Coverage, Revenue Assurance and Income Protection all provide a 25-day late-planting period, Patrick said.
“In Indiana, this begins June 5 for corn and June 20 for soybeans, with yield coverage levels being reduced one percent per day that planting is delayed, with a maximum reduction of 25 percent,” he said.