Insurance against hail damage to growing crops. Although hail is the basic peril in these policies, cover is often granted for crop damage resulting from additional perils such as fire, windstorm, lightning, drought, frost, excessive heat, snow, sleet, etc.
A program operated or insured by the Federal Crop Insurance Corporation in which farmers can purchase insurance against crop disasters. The producers pay about 70 percent of the cost and the government pays about 30 percent of the total program costs.
Covers various growing crops in the event of loss or damage caused by insured perils, notably fire, flood or hailstorm. In many countries this is available through government bodies.
Provides protection against damage to growing crops by such perils as hail, windstorm, and fire. Traditionally, crop-hail coverage was the most common coverage sold. In recent years premiums for broad multi-peril crop insurance (MPCI) have exceeded those for the crop-hail business.
Insurance that protects farmers from crop losses due to natural hazards. Hail and fire insurance are offered through private companies without federal subsidy. A subsidized multiperil federal insurance program, administered by the Risk Management Agency, also is available to most farmers. The program is authorized by the Federal Crop Insurance Act (which is actually title V of the Agricultural Adjustment Act of 1938), as amended. Federal crop insurance is available for about 60 different crops, although not all insurable crops are covered in every county.
Crop insurance is purchased by agricultural producers, including farmers, ranchers, and others to protect themselves against against either the loss of their crops due to natural disasters, such as hail, drought, and floods, or the loss of revenue due to declines in the prices of agricultural commodities. The two general categories of crop insurance are called crop-yield insurance and crop-revenue insurance.
