New Coverage Enhancements Aim to Support Specialty Crop Producers and Broaden Risk Management Opportunities
The U.S. Department of Agriculture (USDA) is set to enhance crop insurance options for specialty and organic farmers starting from the 2025 crop year. These enhancements, implemented by the USDA’s Risk Management Agency (RMA), aim to expand coverage by introducing enterprise units for organic farming practices and adding enterprise unit eligibility for various crops.
According to the press release, his initiative marks the first in a series of summer announcements, including the extension of the shellfish policy in the Northeast and new coverage for grape growers in the West and other regions.
RMA Administrator Marcia Bunger expressed enthusiasm for the new coverage options, stating, “Expanding our coverage options gives producers more opportunities to manage their risks.” This move is part of RMA’s broader efforts to better support specialty crop producers and encompass a wider range of growers.
The 2025 crop year will see several significant changes. Among these, the expansion of Enterprise Units (EU) will now include almonds, apples, avocado (California), citrus (Arizona, California, and Texas), figs, macadamia nuts, pears, prunes, and walnuts.
Furthermore, non-contiguous parcels of land eligible for Optional Units (OU) will now also qualify for EU. Specific organic farming practices will also be covered for numerous crops, ranging from alfalfa seed to walnuts.
Additionally, the new rule includes adjustments such as allowing sunburned walnuts to be eligible for indemnity payments, extending insurance coverage for younger almond trees, and prolonging the insurance period for processing beans in several states. Coverage for canola will also be expanded to South Dakota and Michigan.
These revisions are outlined in the Expanding Options for Specialty and Organic Growers Final Rule, published by the Federal Crop Insurance Corporation (FCIC). This rule updates various crop insurance policies and provisions and introduces ongoing assessments to extend EU availability to additional crops.
Moreover, the June 30 Final Rule introduces several additional changes. New breaking acreage will see reduced administrative burdens by eliminating written agreement requirements and minimizing coverage penalties for specialty crop producers transitioning to row crops.
Indemnity payments will gain flexibility with options for automated clearing house (ACH) or electronic methods. The good farming practices reconsideration process will be streamlined, and clarification will be provided for double cropping and annual forage insurance requirements.
The RMA is also planning further enhancements to risk management tools for specialty crop producers. Future announcements will detail the expansion of the Shellfish Program to more counties, a pilot Fire Insurance Protection – Smoke Index (FIP-SI) crop insurance program for California grape growers, and the extension of the Enhanced Coverage Option (ECO) to walnuts and citrus crops.
Additionally, the Grapevine insurance program will be broadened to cover more counties in California, and new Organic Practice Guidelines will be released to assist producers in reporting insured acreage under organic practices.
These advancements align with USDA’s Specialty Crops Competitiveness Initiative, which aims to bolster the competitiveness of specialty crops in international markets, enhance domestic marketing, and improve production and processing practices.
As part of its mission, USDA offers crop insurance exclusively through private crop insurance agents. Information on available agents can be accessed at USDA Service Centers or through the RMA Agent Locator online. Further details on crop insurance and the modern farm safety net can be found on the RMA website or by contacting regional RMA offices.
