USA - USDA to defer interest on crop insurance premiums

21.08.2019 527 views
The U.S. Department of Agriculture’s Risk Management Agency (RMA) announced it will defer accrual of interest for all agricultural producers’ spring 2019 crop year insurance premiums to help the wide swath of farmers and ranchers affected by extreme weather in 2019. Specifically, USDA will defer the accrual of interest on spring 2019 crop year insurance premiums to the earlier of the applicable termination date or for two months, until Nov. 30, for all policies with a premium billing date of Aug. 15, 2019. For any premium that is not paid by one of those new deadlines, interest will accrue consistent with the terms of the policy. “USDA recognizes that farmers and ranchers have been severely affected by the extreme weather challenges this year,” U.S. Agriculture Secretary Sonny Perdue said. “I often brag about the resiliency of farmers, but after a lifetime in the business, I have to say that this year is one for the record books. To help ease the burden on these folks, we are continuingto extend flexibility for producers with today’s announcement.” RMA administrator Martin Barbre added, “This administrative flexibility is not unprecedented but is a move RMA takes seriously and only under special circumstances like we’re experiencing today. Growers typically have some crop harvested and cash flow to make their billing date, but with so many late-planted crops, this year will be an anomaly.” America’s farmers and ranchers have been especially challenged throughout the 2019 crop year, struggling through severe flooding and excessive moisture conditions across the grain belt and in many other rural communities, with some areas also dealing with extreme heat and drought. Such weather conditions are expected to take a serious toll on acres planted, crop yields and crop quality as harvest begins. One of the largest operating costs for producers is crop insurance premiums paid to their approved insurance provider. Many spring crop insurance premiums are due to be paid before Oct. 1.
Without the interest deferral, policies with an Aug. 15 premium billing date would have interest attach starting Oct. 1 if premiums were not paid by Sept. 30. Now, under the change, policies that do not have the premium paid by Nov. 30 will have interest attach on Dec. 1, calculated from the date of the premium billing notice. USDA revealed Aug. 12 that U.S. farmers filed prevented planting claims on more than 19 million acres during the 2019 crop year. Earlier this summer, USDA announced a series of flexibilities to reduce stress on producers affected by weather, including: providing more time for cover crop haying and grazing by moving the start date from Nov. 1 to Sept. 1, 2019; allowing producers who filed prevented planting claims and then planted a cover crop with a potential for harvest to receive a Market Facilitation Program payment of $15 per acre; holding signups in select states for producers to receive assistance in planting cover crops, and extending the crop reporting deadline in selected states. USDA also will provide producers with additional prevented planting acreage assistance -- which will be announced in the coming weeks -- through the Additional Supplemental Appropriations for Disaster Relief Act of 2019. Source - https://www.feedstuffs.com
04.05.2026

Bulgaria's Kyustendil cherry crop severely affected by frost for second consecutive year

Frosts have caused critical damage to cherry orchards in the Kyustendil region of Bulgaria for the second consecutive spring, with producers reporting near-total crop losses. 

04.05.2026

Vietnam - MoF moves to expand farm insurance support and eligibility

The Ministry of Finance has proposed sharply increasing agricultural insurance premium subsidies to up to 95 per cent and widening the pool of eligible beneficiaries to better share risks with producers, stabilise farm incomes, and strengthen climate resilience.

04.05.2026

Bangladesh - One lakh hectares of rice fields go underwater in haor regions

What should have been a vibrant harvest season in the country’s haor belt across seven districts has instead turned into widespread devastation. 

04.05.2026

Philippines - P150-M insurance buffer vs El Niño but PCIC limits coverage to irrigated farms

The Philippine Crop Insurance Corporation (PCIC) in Western Visayas has set aside P150 million in drought insurance as El Niño conditions intensify, with officials warning that the region is already nearing “critical” risk levels that could threaten thousands of farmers in the coming cropping season.

04.05.2026

Indian banana crops damaged across 809 hectares in Tamil Nadu

Strong winds and heavy rainfall in parts of Tamil Nadu have damaged banana crops across districts, including Theni, Dindigul, Coimbatore, and Salem.

04.05.2026

Poland reports up to 100% fruit crop losses after late April frosts

Fruit growers in Poland are assessing losses after late April frosts damaged crops across multiple regions, with eastern areas most affected and stone fruit production under pressure.

03.05.2026

Vietnam - Aid for agricultural insurance premiums proposed to rise

The Ministry of Finance has proposed increasing support for agricultural insurance premiums and expanding eligible beneficiaries in a move aimed at encouraging greater participation by farmers and agricultural organisations.

03.05.2026

USA - MDARD Awards Over $3.2 Million Through Resilient Food Systems Infrastructure Grant Program

The Michigan Department of Agriculture and Rural Development (MDARD) today announced more than $3.2 million of grants to 10 Michigan entities through the U.S. Department of Agriculture’s (USDA) Resilient Food Systems Infrastructure (RFSI) Grant Program.