Category: Farm & Crop Insurance

Navigating Catastrophic Crop Insurance in Maryland

Maryland is renowned for its agricultural output. It cultivates a variety of crops, including soybeans, wheat, corn, watermelon, apples, and grapes. However, no growing season is without its challenges or occasional setbacks. Thankfully, catastrophic crop insurance offers financial protection for farmers in Cumberland, MD.

Understanding Catastrophic Crop Insurance

Catastrophic crop insurance, or CAT insurance, is part of the federal crop insurance program. This insurance type compensates farmers who experience a crop yield of 50% or less. It covers losses caused by factors such as fire, extreme weather conditions, plant diseases, and damage inflicted by insects and wildlife. However, it’s essential to note that these types of damage are only compensated for if they physically affect the crop. Catastrophic crop insurance does not cover losses due to the inability to reach the market, even if the cause is a covered loss such as a fire.

Catastrophic crop insurance does not have monthly fees; farmers pay a $300 administrative fee per crop. Despite its affordability, this policy might not be ideal for many farmers because compensation is only available once over 50% of the crop is lost. Other crop insurance policies allow you to choose your level of compensation. These policies are pricier than catastrophic crop insurance but offer significant compensation if you encounter a poor growing season.

Find out more about Crop Insurance with Knippenberg Insurance Inc.

At Knippenberg Insurance Inc., we provide personalized assistance to farmers in Cumberland, MD, helping them assess their insurance options and make informed decisions. Feel free to contact us to find out more or to get a quote for an insurance policy.

Farm & Crop Insurance: Safeguarding Maryland’s Agriculture

Cultivating crops like corn, wheat, and soybeans is a predominant agricultural practice in Maryland. Therefore, it’s no surprise that farmers need assistance and guidance in securing their farms, mainly due to the unpredictability of weather patterns and risks beyond crop failure. Understanding the significance of farm and crop insurance, the Maryland Department of Agriculture extends comprehensive support to farmers about insurance and risk management.

The government’s role is indispensable in this scenario. They work in collaboration with farmers, ensuring they get the coverage they duly pay for. Their contribution enables farmers to concentrate on growing crops without worrying about insurance company scams or other distractions.

Understanding Risks Beyond Crop Failure

Climate variabilities pose significant challenges to farmers. In some years, it might be extremely dry and sunny, while in others, it might witness a record-high level of rainfall. In such scenarios, farm & crop insurance acts as a safety net that financially secures farmers who may experience losses, possibly preventing them from filing bankruptcy proceedings.

Farmers’ Responsibilities

Keeping meticulous records of all crop growth becomes crucial if losses are to be reported. However, the most paramount risk for farmers is often not meeting deadlines for filing responsibilities in a timely manner. Failure to meet certain criteria can make them ineligible for insurance or slow down the processing of claims.

It’s important to note that although scams occur on rare occasions, they are not usually the root cause of farmer grievances. Procrastination usually makes farmers disgruntled until they accept their responsibilities.

Role of Insurance Agents

Knippenberg Insurance, Inc., an agency serving Cumberland, MD, comprehends these complexities, which is why it is recommended by many customers in Maryland. They offer detailed guidance to farmers regarding insurance.

Importance of Insurance for Maryland Farmers

Maryland’s state government advises farmers always to manage their crop insurance benefits. Farmers must provide timely notice of any damage and inform the authorities about current crop conditions. It is crucial to be proactive in managing their insurance responsibilities. Farmers can contact Knippenberg Insurance, Inc., serving Cumberland, MD, for all their queries and information.

Hemp has traditionally not been insurable through the federal crop insurance program, but that changed within the past few years. Hemp is generally now insurable through the program.

USDA Change to Federal Crop Insurance Program

As of 2021, the U.S. Department of Agriculture (USDA) adjusted its program stipulations so that hemp is insurable through the federal crop insurance program. Coverage is broadly available in states where hemp can be legally grown, and thus is usually available in Cumberland, MD, and the state’s many other communities.

In Maryland, coverage is mainly available through the Whole Farm Revenue Protection program. A pilot program is available in select other states but not yet in Maryland. The whole farm program can provide robust protection in many situations, however.

Coverage is generally based on Actual Production History (APH) for hemp grown for fiber, grain, or CBD oil, provided it contains 0.3% or less tetrahydrocannabinol (THC). Percent is determined by dry weight. 

Protecting a Valuable Crop

Because hemp can be such a valuable crop, it’s especially important to make sure that the crop is insured against damage and loss. While there may be other coverage options. The USDA’s Whole Farm Revenue Protection Program is normally the most affordable and effective option for growers in Cumberland, MD.

An insurance agent specializing in hemp operations can help growers confirm that this is the right option for them. Because this remains a relatively new insurance, it’s particularly important to work with an agent who knows hemp crop insurance options well.

Knippenberg Insurance Inc. Is Here To Help

For help insuring hemp crops in Maryland, contact our knowledgeable agents at Knippenberg Insurance Inc.

The agricultural industry in the Cumberland, MD area continues to be a very important one. Today, farmers and others in this industry can do quite well. However, there are risks that any business in this industry will face. One way you can help to mitigate some of these risks is by getting a farm & crop insurance plan. There are various forms of coverage that can make farm & crop insurance a good investment. 

Revenue Protection

One of the reasons for having farm & crop insurance is that it can help to protect your revenue. This can be done in a number of ways. First, this insurance can offer crop loss coverage, which will provide support if you lose crops due to fire, severe drought, or other perils covered by the plan. It can also offer protection in the event of yield reductions, price fluctuations, and other risks that could be out of your control.

Liability Coverage

A typical farm will face various forms of liability risks on a daily basis. This includes risks that an accident can occur on the farm or that the crops sold could cause injuries or illness to the recipients. As this is an ongoing risk, having farm & crop insurance is a good option as it will provide coverage to mitigate this risk. 

Reach Out To Us

If you are in the agriculture industry in the Cumberland, MD area, it would be a great idea to get a full farm & crop insurance plan. As you are looking for this type of coverage here, calling our team with Knippenberg Insurance Inc. is a great option. There are a lot of complexities that come with this unique type of coverage, and our insurance professionals can help you assess your situation and build an ideal plan. 

Cumberland County consists of approximately 70,000 acres of farmland. In terms of state productivity, Cumberland ranks number one in vegetable, potato, and melon production. The county also accounts for almost 20% of the state’s agricultural market value. Cumberland also supplies vegetables to New Jersey and numerous cities in the eastern U.S. and Canada.

It is safe to say that a lot of people earn a living from farming in the county, making it especially important to safeguard not only their livelihood but also the supply of foodstuffs that they provide. That is why we at Knippenberg Insurance Inc. provide coverage for farmers in Cumberland, MD. 

The Need for Farm and Crop Insurance

• Stabilization of income within the county. Many people in the county rely on the agricultural sector to put food on their tables. Insurance protects farmers against losses emanating from crop failure. It serves as a utility that lets farmers manage output and price risks.
• Minimization of debts. Insurance enables farmers to honor loan payments even when crops fail. This ensures that farmers keep most of their income even in tough times when they have little to get by with.
• Technological advancement. Insurance vendors work with agri-business platforms that utilize IoT to improve agricultural practices. Incorporating such technologies enables a reduction in losses and helps streamline crop production, resulting in more revenue for farmers in the county.
• Provide awareness and education. Insurance vendors sometimes offer workshops and educate farmers on the latest farming methods and measures they can take to increase yields. This way, farmers improve the business side of their activities.

Give Us A Call

Considering the agricultural output and income the county provides, farm and crop insurance is essential for farmers in the county. To learn more about how you can benefit from such policies, contact Knippenberg Insurance Inc. serving the greater Cumberland, MD region.

Are you a new farmer? If so, you need to know about crop insurance. This vital tool can protect your farm from devastating losses in the event of a natural disaster or other unforeseen events.

Consult with Knippenberg Insurance Inc. in Cumberland, MD for expert advice on your insurance coverage.  Here, we will cover everything you need to know about crop insurance, including what it is, how it works, and why you need it. Read on below for all the details.

What Is Crop Insurance?

Crop insurance is a type of insurance that protects farmers from losses due to crop damage or loss. It can be purchased by farmers to protect themselves from losses due to weather events, pests, and other unforeseen events. Additionally, agricultural businesses can also purchase crop insurance to protect their crops from damage or loss.

How Does Crop Insurance Work?

Crop insurance plays a vital role in protecting farmers against financial risk. Farmers who purchase crop insurance pay premiums to private insurance companies, which in turn reimburse them for their losses. The amount of the reimbursement is based on the terms of the policy and the value of the crop at the time of loss.

Why Do You Need Crop Insurance

As a new farmer, you need to be aware of the risks involved in farming. These risks include weather events, pests, and other unforeseen events. While you can’t control the weather or prevent pests from damaging crops, you can protect yourself financially by purchasing crop insurance.

This insurance will help you cover your losses in the event of a disaster, allowing you to continue farming and providing for yourself and your family.

Purchase Crop Insurance Today

So, there you have it, everything you need to know about crop insurance. This essential tool can help you protect your farm from financial ruin in the event of a natural disaster or other unforeseen events. 

If you’re ready to get crop insurance, contact Knippenberg Insurance Inc. in Cumberland, MD and we will be happy to help you find the right policy for your needs. We have been helping farmers find the right policy for their crops and we are here to help you too.

Farmers know that natural disasters such as fire, drought, and heavy rain can cripple their crop production for that year and future years. With many farmers dependent on a good year from their crops to survive, failure can have a devastating impact on many farms and their families. Luckily, agricultural producers, including farmers, ranchers, and others, can protect themselves against losing their crops and revenue by purchasing farm and crop insurance. When it comes to farm and crop insurance, there are three main types: multiple peril crop insurance, crop-hail insurance, and crop revenue insurance. Let’s explore both in greater detail below.

Multiple Peril Crop Insurance (MPCI)

MPCI protects farmers from crop losses caused by natural events, including disease, drought, destructive weather, fire, flooding, and insect damage. MPCI is a federal program and is regulated to ensure consistency and fairness. Insurance agents and companies, such as Knippenberg Insurance Inc. in Cumberland, MD, are licensed to sell MPCI policies. Currently, MPCI covers more than 120 different crops; however, coverage can vary from one geographic region to the next. 

Crop-Hail Insurance

If you live in an area where hail is a common occurrence, you can purchase a special insurance policy to protect crops most at risk of being ruined by hail. Crop-hail insurance is often purchased as a supplement with MPCI and can be bought at any point during harvesting.

Crop Revenue Insurance

In seasons when crops produce less than expected or the price of the crop is low, crop revenue insurance can be purchased to offset the loss in revenue. Using last year’s revenue as a baseline for the current year’s, the insurance company may help cover the difference. This policy protects farmers and their earnings from inflationary swings in crop prices and poor yields. 

Farm insurance protects farmers against what can happen to their farm and their residence. Like homeowners and commercial insurance policies, farm insurance can be customized to fit your Cumberland, MD needs. For additional information about farm insurance and coverage options, call the experts at Knippenberg Insurance Inc. today. 

What Does Farm Property Insurance Protect?

Farm property insurance protects your home and its contents; additionally, this policy protects your farm machinery, equipment, the products you produce, barns, and other farm structures. Essentially, this insurance policy covers things that make your farm your farm. 

Coverage for Other Structures

Under farm property insurance coverage protects you against damage caused to other buildings on your property, including detached garages, sheds, barns, and in-ground pools. Additionally, your insurance policy covers damage to trees, shrubs, plants, lawns, and crops. When filing a claim, your primary policy also protects against theft and payments for loss of use. 

Coverage for Machinery

Should the machinery used to work your farm get damaged in a covered event listed on your insurance policy, you will receive coverage to repair or replace the machinery. Additionally, your farm insurance policy protects you when the machinery listed on the policy is stolen. 

Liability Coverage

Your farm insurance policy should also include liability coverage, which protects you if there is an accident on your farm. If an employee or someone else gets injured on your property, liability coverage pays for damages, including medical bills and lost wages, due to the injury. 

Cumberland, MD farmers need to protect themselves and their farms by purchasing farm insurance. There are many types of coverage available, and speaking with an agent at Knippenberg Insurance Inc. can help you select the best policy and coverage for your farming needs. 

Introduction

Farm and ranch insurance is coverage for the basics and more for your farm and crops. This coverage is customized according to your needs. Since every ranch is unique, proper insurance coverage for one ranch is not necessarily proper coverage for another ranch. There is, however, a guideline of what is covered and what is not covered, which includes the following: 

Farm Machinery and Equipment

This is coverage for damage or financial loss of the farm equipment and machinery that occurred from perils. This could be cotton pickers, tractors, field equipment, combines, hay rakers, and more.  

Livestock

This is a broad array of livestock coverage that is injured or killed from a covered, common peril. Other coverage is also available for a broader array of perils that may occur to farm animals, such as animals struck by a vehicle or train or accidentally shot. 

Farm Products

Farm and crop insurance also cover grain, seed, feed, and similar products. However, these items are only covered while stored. Grain, feed, or other crops that are grown on the property are not covered. 

Farm Liability Coverage

This insurance is similar to standard home insurance. However, due to the risks at hand, it is not available in every farm insurance policy. This liability protection covers medical expenses, bodily injury, and property damage. It also covers attorney fees for covered incidents.

Things Not Covered by Farm and Crop Insurance

Few other things may not be covered in addition to items already mentioned. For instance, fencing is not automatically covered. There are also some discrepancies relating to fires and fencing that homeowners should know.

Contact Knippenberg Insurance Inc.

For more information about farm and crop insurance coverage, contact Knippenberg Insurance Inc. today. Located at Cumberland, MD, Knippenberg Insurance Inc. has provided top-notch insurance products for decades in Cumberland, MD, and surrounding areas. You will be in good hands with our team, so contact us today.

The Cumberland, MD area is a great place to own or operate a farm. When you are here, you will enjoy the great weather that will allow you to produce a high level of product yield, which you can then sell to a variety of willing buyers. When you are an owner of a farm in this area, it is important that you get proper insurance. There are several reasons that you should get a farm and crop coverage policy. 

Ensures Certain Level of Revenue

To run a successful farm one year after the next, you will need to have a recurring revenue source. While most farmers in the Cumberland area will have success each year due to consistent weather and demand, bad weather and other unforeseen circumstances could affect this. When you get a farm and crop insurance policy, it will give you financial coverage if you have a low yield one year.

Requirement from Lenders

A farm and crop policy can help to ensure your financial future. Therefore, it also will protect a bank if they loan you money to grow your farm. Due to this, it is widespread for a farm loan provider to require you to carry a full farm and crop policy at all times. 

If you are looking for farm and crop coverage in the Cumberland, MD area, you will want to ensure that you speak with someone about your options. The team at Knippenberg Insurance Inc. can provide you with all of the input and advice that you need to choose a quality policy. This guidance provided by Knippenberg Insurance Inc. will help ensure that you can find a policy that properly protects your farm business.