In southeast North Carolina, farmers say they're always 10 days from a drought. At the other end of the weather spectrum are hurricanes and tropical storms that often hit the area. Pembroke, N.C., farmer Adrian Locklear of Locklear Brothers Farm says crop insurance is a must for his operation.
“It's a family operation: my father, my brother and myself. We farm about 3,500 acres of corn, soybeans and rapeseed,” said Locklear. “Crop insurance for us is a very key tool, it’s a tool that we use every year. That's the only true safety net we have.”
The U.S. Department of Agriculture’s (USDA) Risk Management Agency (RMA) serves America’s agricultural producers through effective, market-based risk management tools to strengthen the economic stability of agricultural producers and rural communities. RMA manages the Federal Crop Insurance Corporation (FCIC) to provide innovative crop insurance products to America’s farmers and ranchers. Approved Insurance Providers (AIP) sell and service Federal crop insurance policies in every state and in Puerto Rico through a public-private partnership with RMA. Crop and livestock producers can purchase Federal crop insurance policies through crop insurance agents.
William Barnes, Deputy Director of RMA’s Regional Office in Raleigh, N.C., says federal crop insurance programs are designed to be adaptive and responsive to the needs of farmers throughout the country. “What we do has an effect in the field almost immediately,” said Barnes. “Outside of weather, which you can't control, there's also market variability which you can't control. Crop insurance is an excellent tool to help with price protection.”
Locklear Brothers Farm uses crop insurance for revenue protection. “We've also used the hurricane policy, and that's been a tremendous help for us here. Without that coverage, I would say there will be some farms now that will be out of business,” said Locklear.
Crop insurance provides more than disaster protection; it also helps the Locklear Brothers Farm get funding from banks. “Banks want to be able to see how much crop insurance we're carrying,” said Locklear.
Barnes explained that USDA has set aside money through the FCIC to support crop insurance. “We make sure that the product going out meets the needs of the counties and the crops,” said Barnes, adding that the best place to start is to go to RMA’s website: rma.usda.gov. “We have several tools available including an Agent Finder. You can look up your crop and find an agent.”
Locklear says that RMA crop insurance programs give him peace of mind. “If you do get hit and lose your crop, the crop insurance is going to help you cover some of your losses. Without that, you could have 100 percent loss. It’ll get you to the next year,” said Locklear.
A list of crop insurance agents is available at all USDA Service Centers and online at the RMA Agent Locator. Learn more about crop insurance and the modern farm safety net at rma.usda.gov or by contacting your RMA Regional Office.
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