NAP Buy-Up Coverage Option & Enhancements for Military Veterans

USDA’s Farm Service Agency (FSA) has announced that higher levels of coverage will be offered through the Noninsured Crop Disaster Assistance Program (NAP) through May 24, 2019. Producers can obtain buy-up coverage for 2019 or 2020 eligible crops for which the NAP application closing date has passed.

The 2018 Farm Bill reinstates higher levels of coverage, from 50 to 65 % of expected production in 5% increments, at 100% of the average market price.

Producers of organics and crops marketed directly to consumers also may use the “buy-up” option to obtain NAP coverage of 100% of the average market price at the coverage levels of between 50 and 65% of expected production. NAP basic coverage is available at 55% of the average market price for crop losses that exceed 50% of expected production.

NAP provides financial assistance to producers of non-insurable crops when low yields, loss of inventory, or prevented planting occur due to natural disasters. Buy-up coverage is not available for crops intended for grazing.

Under the 2018 Farm Bill, qualified veteran farmers and ranchers are eligible for a NAP service fee waiver and premium reduction when they file form CCC-860, “Socially Disadvantaged, Limited Resource and Beginning Farmers or Rancher Certification.”

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