Enzi touts expansion of farm insurance plan to Wyoming
November 3, 2006
Washington, D.C. – U.S. Senator Mike Enzi, R-Wyo., is pleased farmers and ranchers in Wyoming have another tool in the toolbox to help fight losses due to drought and other circumstances.
This week Agriculture Secretary Mike Johanns announced the expansion of the Adjusted Gross Revenue-Lite (AGR-Lite) plan of insurance into Wyoming and nine other states bringing the total of states eligible for the insurance plan up to 28.
"Planning is the key to being able to manage a disaster when it happens. I encourage farmers and ranchers to look into this insurance program to see if it will help them," said Enzi. "Producers have more flexibility in how they manage their operations with this insurance plan because it is based on individual farm revenue."
AGR-Lite is a whole farm revenue plan of insurance that provides protection against low revenue due to unavoidable natural disasters and revenue fluctuations. Policies are limited in size to a maximum liability of $1 million annually. Most farm-raised crops, animals, and animal products are eligible for protection. The plan uses a producer's five-year historical farm average revenue, as reported on IRS tax returns and the current year's farm plan, as a basis to provide a level of guaranteed revenue for the insurance period.
The AGR-Lite plan can be used alone or with most other federal crop insurance plans. It provides insurance coverage for multiple agricultural commodities under one insurance product and establishes revenue as a common denominator of insurance for all agricultural commodities on that farm.
More information about the AGR-Lite program is available on the USDA’s Risk Management Agency Web site at: http://www.rma.usda.gov .
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