In 2023, RMA updated the double crop written agreement guidelines allowing most producers coverage on their acres. Across the nation we saw a large increase in the amount of double crop soybeans and grain sorghum being insured. Many farmers also saw significant drought conditions showing the dramatic need for crop insurance in such times. RMA has seen the needs of the farmer and is continuing to move in the right direction to make double crop insurance available for everyone.
With the consistent dry conditions we have seen for the past few years, many producers have recognized the need to have wheat in their operations. We continue to see a high number of wheat acres planted. Producers who take advantage of planting a double crop (i.e. soybeans or grain sorghum), in a county with no double crop acturaials, will now be able to obtain insurance on double cropping practices in a simpler manor. This procedure has been available by written agreement in the past, but RMA still retained the right to deny the farmer coverage. In 2024, blanket written agreements will be offered to all wanting insurance on the double cropping practice. This means a few things for all applying for the insurance:
· RMA cannot deny you coverage.
· No previous yield history is needed to apply. You can use your own double cropping history if you have raised double crops in the past.
· You have until March 15th to apply and accept the coverage.
These changes are a huge benefit for producers needing to expand their production of feed grains or oilseeds in their operation. While these changes are great, there is one thing to keep in mind.
First crop, second crop rules, will still apply in a loss scenario. If you have no double cropping history, your losses will max out at 135% between wheat and soybeans.
Our office is very experienced with this procedure and will help you tailor a program to fit the needs of your operation. If you are considering insuring your double crops, it is important to contact us early as there is important paperwork to be filed by March 15th.
While some of these changes may seem minor, they are a good sign that RMA is moving in the right direction. If you are questioning how these rules directly affect your operation, give us a call today. We will be here to assist you in developing a detailed risk management plan.