NAP Buy-up Coverage Available and New Service Fees Announced
The Noninsured Crop Disaster Assistance Program (NAP) provides financial assistance to producers of commercial crops for which insurance coverage is not available. This insurance protects against natural disaster that lead to crop losses, lower yields or prevent the planting of crops. NAP is available for California growers of avocado varieties other than Hass, Lamb Hass and GEM (which are insurable under the standard crop insurance program), and for growers in other counties such as Los Angeles, San Bernardino, Kern and Tulare.
The USDA Farm Service Agency recently announced that higher levels of coverage will be offered via NAP — from 50 to 65 percent of expected production. The administration fee also has been increased from $250 to $325. Producers may exercise the “buy up” option to obtain NAP coverage of 100 percent of the average market price at the coverage levels between 50 – 65 percent of expected production. Producers have a one-time opportunity, until May 24, to obtain buy-up coverage for 2019 or 2020 crops for which the NAP application closing date has passed.
In addition, the 2018 Farm Bill also specifies that qualified veteran farmers are eligible for a service fee waiver and premium reduction. For more complete NAP information, visit the NAP website.