Pasture, Rangeland, and Forage insurance (PRF insurance) was designed to help protect a producer’s operation from the risks of forage loss due to the lack of precipitation.
The PRF program is designed to provide producers with the ability to purchase insurance for losses of hay or forage produced for haying or grazing purposes, which result in increased feed costs. The program utilizes an index rainfall to determine coverage for precipitation, and it does not measure the program’s other actions such as depopulating, destocking, or the production of other products. The Insurance Pilot Program for Forage, Rangeland, and Pasture provides insurance coverage for acres grown for haying or livestock grazing on your rangeland or pasture.
PRF coverage is accessible in the 48 contiguous states, except for a few areas that extend across international boundaries.
A solitary reporting station cannot be traced back to the entire NOAA CPC grid, but the interpolated information for the grid is not reliant on individual rain gauges on their farm or a solitary weather station. Ranchers and farmers need to comprehend that payments are not determined by the interpolated information for the entire NOAA CPC grid, but rather by individual rain gauges on their farm or a solitary weather station. Index intervals are referred to as these periods, during which precipitation is highly important for their operation, and a producer must select at least two, 2-month periods. The location to be insured will be assigned to one or more grids based on acres. Each grid covers an area equivalent to .25° in longitude by .25º in latitude and utilizes the Rainfall Index from the National Oceanic and Atmospheric Administration Climate Prediction Center (NOAA CPC) data.
Rangeland, Pasture, and Forage (PRF) insurance is designed to help protect producers from the risks of loss due to a lack of precipitation, sometimes referred to as insurance rainfall. However, it is important to note that PRF insurance is not designed to insure against severe or ongoing drought, as coverage is based on expected precipitation during specific intervals.
The areas where they excel in work methods and varieties, which are crucial to know, are diverse and result in the growth of forage in different regions. Approximately 55 percent of the total land in the United States is covered by forage, rangeland, and pasture.
Get more details in our PRF insurance brochure.
How are PRF insurance payments determined?
The specific weather stations or ranches and farms do not form the general area. This insurance coverage is based on the overall experience of the entire grid. This insurance coverage is specifically for the lack of precipitation. When the final grid index falls below the policyholder’s “trigger index” threshold, the producer may receive indemnity. The insurance payments are determined based on the data for the chosen intervals and grids, which are determined using CPC NOAA data.
What PRF Insurance Tools are Available to ProAg Agents?
Producers should use the available tools and support on RMA’s website to help decide whether PRF insurance is right for their operation. RMA encourages the use of the historical indices and the Grid Locator ID map to assign acreage to more than one grid, based on the use of the acreage and its location. Producers should work with their crop insurance agent to view the Locator ID Grid PRF map and make choices when insuring their number of acres, factor productivity, irrigation practices, coverage levels, and production choices such as hay or grazing.
This data helps producers decide whether PRF insurance coverage is the right operation for them. ProAg’s PRF quoting system, available within the RMA’s website, provides robust quoting tools as well as historical indices and numerous data points to support decision-making.
Dive Deeper into PRF with these Articles
Contact Us Today
Contact your trusted ProAg crop insurance agent to provide all the necessary information for customizing your insurance policy, as operation and ranching farming can be tailored to fit your specific needs.
Full Name (Required).
Comments.
This area is for verification reasons and should remain unaltered.
Protect your operation when precipitation is lacking with PRF insurance.
The terms and conditions of the actual coverages will vary for the policy that has been issued. Please always refer to the policy provisions; the information provided does not modify or otherwise impact the terms and conditions of any insurance policy issued by ProAg or any of its subsidiaries. The insurance products described on this website may not be available in all states and may not constitute a comprehensive list of all products offered. Inc. In California, CA Entity License #0F34212 operates as Pro Ag Insurance Services, Inc., And acts as a managing general agency for multiple insurance companies that assume risks, including Producers Agriculture Insurance Company and U.S. Specialty Insurance Company, together with its affiliated corporations, known as “ProAg®”.