Alabama Farmers Eligible for AGR-Lite Crop Insurance

Following a decision last October by U.S. Department of Agriculture Risk Management Deputy Director Tim Witt, Alabama farmers will be eligible to sign up for whole-farm revenue insurance for crops and livestock under the Adjusted Gross Revenue-Lite insurance program. Coverage is now available for the 2008 crop years.

Farm commodities for which insurance previously was unavailable may be covered under this plan. AGR-Lite, as the program commonly is known, also may be combined with other insurance products where available, according to Dr. Jim Novak, an Alabama Cooperative Extension System economist and Auburn University professor of agricultural economics.

Last October’s decision marks the culmination of a process begun in 2006 to make AGR-Lite insurance coverage available to Alabama farmers, specifically to help small farms reduce risk. Several players involved with this process — the Alabama Farmers Federation, the Alabama Cooperative Extension System, Auburn University and the Alabama Department of Agriculture and Industries — worked with producers to conduct risk assessments of all of Alabama’s principal crops and livestock production. Crops and livestock that were rated for risk as part of this process will be eligible for this type of insurance.

AGR-Lite provides protection against losses in income from unavoidable natural disasters and market price declines. Unlike other standard insurance plans, multiple agricultural commodities including livestock, horticultural crops and poultry can be insured with one product.

AGR-Lite and other crop insurance products are administered and subsidized by the USDA Risk Management Agency. To contact an AGR-Lite insurance agent, log onto www.rma.usda.gov/tools/agent.

Posted by Jim Langcuster at January 4, 2008 04:26 PM