King Crop News Brought to you by King Crop Insurance September 2016to

2017 Crop Insurance Options Insure Irrigated / Non-Irrigated at Different Levels

Supplemental Coverage Option (SCO)

Trend Adjustment (TA)

Beginning Farmers & Rancher Benefits (BFR)

Added Price Option (APO)

Whole Farm Revenue Protection (WFRP)

APH Yield Exclusion (YE)

Small Grain

Discovery Prices

As of 9/14/16

Wheat: $4.74

Barley: $3.12

Prices Based on CBOT

Are you Planting Rapeseed for Harvest?

WE CAN INSURE IT! In Delaware and Maryland, fall planted rapeseed is insurable with a “written agreement” (WA). A written agree-ment is a document designed to provide insurance for insurable crops when coverage or rates are un-available in the county. The grower must have a history of growing “like crops” (i.e. barley, wheat, canola, rye or oats). The written agreement is sub-mitted to the Risk Management Agency (RMA) for approval. The accompanying documents required are a contract with the processor, maps noting physical location where the crop will be planted, identification of where the crop will be sold, a pro-duction history data of a “like crop.” All documents have to be submitted by September 30th. The final planting date for rapeseed is September 30th with a late planting date of October 5th.

Please call today for a quote!

Small Grain Policy Review

It is important to share with us any changes to your farming operation i.e. irrigation added, land added, expanding into a new county, acres emerging from CRP, new breaking ground, adding a new crop, etc. If you have any changes to your entity i.e. death of an SBI, adding a SBI (you got married or added some-one to your operation), name change, EIN change, etc. PLEASE let us know! These changes need to be reported to us no later than September 30th. Failure to inform us of any changes may put your insurance coverage in jeopardy.

State of Crop Insurance: A stronger and more diverse federal crop insurance program has provided

America’s diverse agricultural producers and rural communities with a reliable safety net that supports the economy even after severe weather conditions destroys crops. The Risk Management Agency (RMA) has ex-panded options and availability in the program over the past several years, focusing on improved options for small and diverse farm operations, organic producers, beginning farmers and ranchers, and those struggling with years of repeated severe weather and providing the protections they need to continue farming.

Small Grains Sales Closing Deadline September 30

2015 Causes of Loss

Source: National Crop Insurance Services Data as of 4/22/2016

A History of Corn Price Cycles

1900 – 1915 = $. 57 per bushel

World War I (1916 – 1919) - Average Corn Price = $1.35 per bushel

1920’s and 1930’s - Dust Bowl - Corn Price reached lows of $.29 per bushel

and highs of $1.00

World War II (1939 - 1945) - Average Corn Price = $1.00 per bushel - With the end of the war prices dropped

1950 – 1970’s - Federal Farm Programs Implemented to - set Price Floors - Average Corn Price - $1.24 per bushel

1980 – 1999 - Average Corn Price = $2.50 per bushel

2000 – 2009 - Average Corn Price = $2.78 per bushel

2010 – 2015 - Ethanol Boom and Drought of 2010 - Average Corn Price = $5.48 per bushel

CLU Reporting Requirements Reported acres must include the field identification by providing the Farm Serial Number (FSN), Tract and Field Number. If you report planted acres using a FSA-578 form, this information is clearly noted on the document. It is important to be aware of the termi-nology of the acreage reporting. The definition of a Common Land Unit (CLU) is the smallest unit of land that has a permanent, contiguous boundary, a com-mon owner and a common producer in agricultural land associated with USDA farm programs. Both USDA Farm Service Agency (FSA) and Risk Manage-ment Agency (RMA) requires producers to report planted and harvested acres by CLU (farm serial num-ber, tract number and field num-bers). You can report planted acres by a FSA-578 form or using maps identifying CLU infor-mation. The documentation submitted to us for acreage re-porting must include the CLU. After King Crop enters your reported data you will receive a copy of the acreage report in addition to a copy of the schedule of insurance. It is imperative you review these reports for accuracy before sub-mitting them for crop reporting and after they have been entered at the FSA and our office. Errors could result in loss of funds in the event of claims and/or inaccurate billing of premiums.

No Additional Premium Subsidy for 2016

For the last several years, farmers in our region have been receiving Additional MPCI Premium Discount ranging from $150 to $235 per crop. The amount

discounted was indicated on your crop premi-um billing statement as “additional subsidy.” RMA has not made the “additional subsidy” funding available for Delaware or Maryland for crop year 2016. Previously funding was made available through RMA’s program for Addition-al Premium Discount for Northeast US Under-served States.

Agriculture Supports 1 in 12 jobs in the United States U.S. Agriculture continues to be an area of growing strength in the American economy thanks to pro-ducers’ ability to manage risk, reduce their debt and capitalize on expanding market opportunities. Currently, agriculture supports 1 in 12 jobs in the United States, from transportation to processing in businesses large and small.

Pre-Harvest Checklist Review Schedule of Insurance & FSA 578 Form

Notify us immediately for any discrepancies

Review the Acceptable Type of Production Record Re-quirements

Combine Load Record Worksheet

On Farm Grain Bin Worksheet

Grain Bin Markings

Weighed Production

Feed Records

Reminders:

Production must be reported as dry bushels

Mark Settlement Sheets / Weigh Tickets w/farm name

Mark Settlement Sheets / Weigh Tickets for Irrigation

Jackie’s Corner Update - A few years ago we began our fight to get double cropping qualifications changed and after talking to many, writing letters, etc. we have made some headway on the number qualifying acres you may be eligible for in regards to double cropping. Beginning with the 2017 crop year, if you have increased the number of doubled cropped acres, we may now apply the percentage of acres you previously double cropped to the total acreage. Note, we still must provide records of acre-age and production in at least two of the last four years you double cropped. Not new, but finally it is documented in the double crop provisions, if you did not mark your production double cropped or full season we can allocate first and second production. A word of caution, continue to mark your records double cropped versus full season. The battle will continue to have the double cropping regulation re-viewed by policymakers to reflect the following goal: If double cropping is an acceptable practice recog-nized by agriculture experts within the county prov-ing you are a double cropper should be not be re-quired. My Visit - In June, I had the opportunity to visit ag staffers of four congressional leaders in Washington, D.C. My message was simple and to the point; farm-ers are business people and they invest in crop insur-ance as part of their business plan. I stressed the importance of protecting premium discounts (subsidies) and not to allow a means test. Our critics continue to lobby crop insurance premium discounts should have a financial means test apply. It was good visits with all and I was pleasantly surprised

the time they afforded me and the depth of our dis-cussions. I will continue to visit “The Hill” and look forward to assisting in the education of our policy-holders why crop insurance is important to you and the industry. I encourage you to voice your opinion concerning the crop insurance program to our poli-cymakers. I am just a phone call if you would like my assistance in making contact with our policymakers or to share your concerns. Farm Bill—Yes there is already talk about the next Farm Bill. Our current Farm Bill is until 2018 howev-er, in 2017 policymakers and their staff will get into full swing preparing for 2018. The upcoming election results will have a great influence as to what 2018 will bring to us. As we know the majority party sets the agenda and sources tell me it does not look like the house will have much of a change in party lead-ership in regards to the ag committee. One third of the senate is up for re-election and a change in the ag committee chair could happen! The current sen-ate ag majority and minority leaders would most likely just change hats. I will continue, as I hope you will do the same, to voice your thoughts and con-cerns to Keep American Farmers Strong! Have a happy and safe harvest!

Whole-Farm Revenue Protection (WFRP)

WFRP provides a risk-management safety net for all commodities on a farm under one insurance policy. It is de-signed for farms to insure be-tween 50%-85% of their gross revenue, up to $8.5m of reve-nue guaranteed. This policy provides protection against the loss of insured reve-nue expected to earn due to unavoidable natural cause of loss that occurs during the insurance peri-od. A MPCI policy may be purchased in addition to a WFRP policy. The sales closing is March 15 but do not wait….let’s review your operation now to see if WFRP is what will work for your operation.

Public Opinion for Farmers is High Voters have expressed their concerns with the di-rection of the country and we have experienced increased polarizing political rhetoric in the last few years. However, agriculture seems to be one area that continues to gain bipartisan public support. Republicans, Democrats, and Independence alike hold favorable views of farmers. A recent national survey of 1,000 voters ranked farmers on par with favorable ranking usually reserved for professions like teachers and soldiers. The support also ex-tends to farm policy. 92% of respondents in the survey agreed that helping America’s farmers was an important use of tax payer dollars. Eight in ten of Americans believe that a strong, thriving farming industry is a critical component of the country’s se-curity. When provided with a description of the current crop insurance program, 79% of those surveyed supported it. The respondents think it is a good idea to have farmers contribute money to help fund their farm safety net. Those polled agreed the current premium and de-ductible amounts absorbed by the farmer were appropriate. Agricul-ture appears to be one of the rare area where Congress has found solu-tions that voters are happy with. Source: NCIS and North Star Opinion Research

Rainfall Index

The Rainfall Index insurance coverage is based on a grid rather than individual farms and de-signed to insure against a decline in pre-cipitation. The lack of precipitation is the only cause of loss. This insurance is designed for pasture, rangeland, forage

and apiculture.

Sales Closing Deadline NOVEMEBER 15!

Client Portal—Did you know you could see your policy, your acreage report, APH, etc. on line? Sign up today on RCIS.com and register!

King Crop Insurance, Inc.

101 W Market Street

Georgetown, DE 19947

Sales Closing

Deadline SEPT 30

2016 Crops Production Reporting Small Grain Crop Production

In order to provide a accurate and up to

date quote it is necessary to have your

2016 crop production reports entered at

the time of the quote. If you have not

already provided us with your 2016 pro-

duction please attempt to do so for an

accurate assessment and projection for

your 2017 Small Grains.

Contact Us King Crop Insurance, Inc. 101 W Market Street Georgetown, DE 19947 302.855.0800 agents@kingcrop.com www.kingcrop.com

Upcoming Events

Sept 27 Kent County Farm Bureau Banquet

Oct 1 Sussex County Farm Bureau Banquet

Oct 10 New Castle Cty Farm Bureau Banquet

Nov 8 Election Day

Dec 4-6 Maryland Farm Bureau Convention