Insured Producers in Massachusetts to Receive Premium Reduction! Agricultural producers in Massachusetts who purchased a 2013 Federal Crop Insurance “Buy-Up” policy will be receiving a fixed premium reduction of up to $225.00 per eligible crop policy. Section 524(b), Agricultural Management Assistance, of the Federal Crop Insurance Act provides for the premium reductions in 16 states including Massachusetts. The premium reductions will not apply to catastrophic risk protection policies or any policies insured under the Livestock Gross Margin for Dairy program. $5,694,000 is available to eligible insureds in the 16 states and if estimated premium reductions exceed that amount; the $225.00 per crop policy will be reduced on a pro-ration basis. If the total producer-paid premium is less than $225.00, the amount of the premium reduction will be capped at 100 percent of the producer-paid premium for the crop policy. Insured producers do not have to file an application to receive the premium reduction. The premium reduction will be applied automatically to all eligible crop policies. The amount of the premium reduction will be deducted from the producer premium on their individual billing statement or it will be noted on the billing statement that the premium reduction will be issued as a refund. The University of Massachusetts (UMass) Extension Risk Management/Crop Insurance Education Program calculates that the premium reductions for Massachusetts insureds could potentially reach $119,925 on a total of 533 policies eligible for the premium reduction. For the 2013 crop year, a total of 633 Federal Crop Insurance policies were sold to Massachusetts agricultural producers providing over $48.7 million in protection for their agricultural operations.
Posted on: Fri, 19 Jul 2013 13:23:39 +0000
Trending Topics
Recently Viewed Topics
© 2015