Menu Close Menu

Can Crop Insurance Affect FSA Programs?

There are a few times when the elections you make for crop insurance directly affect your program eligibility at FSA or vice versa.

Conservation Compliance –

If you carry a crop insurance policy, even if you do not certify you acres at FSA, you are required to have a conservation compliance form (Form AD-1026) on file at FSA. If you do not have one of these forms signed by the billing date for the crop you have insured, then you will not qualify to receive any subsidy for your crop insurance policy.

ARC & SCO –

If you have signed up for the ARC program at FSA, you are not able to sign up for the Supplemental Coverage Option through crop insurance. If you elect SCO and ARC for the same crop on a farm, your SCO coverage for that crop on that farm will be cancelled. You must report the crop on that farm as covered by ARC on your acreage report or you will forfeit 20 percent of your SCO premium on that crop and farm to cover administrative expenses. However, your underlying policy will still be in effect. For more information on ARC, click here. For more information on SCO, click here

WHIP+ Program –

The Wildfire and Hurricane Indemnity Program Plus (WHIP+) provided payments to producers to offset losses from hurricanes, wildfires, and other qualifying natural disasters that occurred in 2018 and 2019.

Both insured and uninsured producers were eligible to apply for WHIP+, but all producers who received payments for crop losses and prevented planting losses were required to purchase either crop insurance or Noninsured Disaster Assistance Program (NAP) coverage. Coverage was required at the 60% level or higher for the next two available, consecutive crop years following the crop year for which WHIP+ payments were distributed.

If producers fail to purchase crop insurance for the next two consecutive years, they will be required to pay back their WHIP+ payment. Enrollment for WHIP+ is currently closed. More information can be found at https://www.farmers.gov/recover/whip-plus