No Rain Doesn't Have To Mean No Revenue
The Pasture, Rangeland, and Forage (PRF) program was launched in 2007 as a pilot insurance program. Since it became publicly available in 2016, producers throughout the United States have protected their pastures, rangeland, and forage for their livestock against a lack of rainfall. As any rancher or farmer knows, when you depend on your crop or livestock to make a living, dry skies means lost revenue. At AMS Insurance, we help you develop a Pasture, Rangeland, Forage (PRF) insurance plan that protects you when rainfall is scarce.
PRF Insurance That Fits Your Needs
Our crop insurance agents work with you to customize premiums and indemnities to fit your production levels and desired percentage of coverage. Indemnity triggers and losses are calculated using rainfall data collected by the National Oceanic and Atmospheric Administration’s Climate Prediction Center. Our goal is for you to get the right insurance coverage for your needs.
Protection From Lack Of Precipitation
PRF insurance can be customized to fit your risk management needs. Insurance coverage levels for a producer’s operation can be 70, 75, 80, 85, or 90 percent of the base county value. We help you choose the pasture, rangeland, and forage policy that best fits your needs.
Driven By A Grower Focus
From single peril insurance to whole farm revenue protection, every crop insurance agent at AMS is driven by a passion for safeguarding each producer’s operation against rainfall indices that are less than expected. Since our beginning, we’ve been helping clients choose PRF insurance policies that provide insurance coverage for their livestock, pasture, and farm.
Common Questions About PRF Insurance In Arizona
Our premiums and indemnities are customized according to your coverage and production levels. Loss determinations and indemnity triggers are calculated using the rainfall index model that is collected and maintained by the National Oceanic and Atmospheric Administration’s Climate Prediction Center (NOAA CPC).
How are insurance payments calculated for a PRF insurance policy?
Insurance payments are given for two-month periods called index intervals. Those who own livestock, producers, and growers choose specific intervals for their pasture, rangeland, and forage insurance policy.
Using NOAA CPC data, an index value is assigned as the county base value for one or more grids (depending on whether insured acreage is one a single, entire grid or numerous grids). When rainfall is below the trigger grid index, indemnity payments are calculated. Similarly, if the rainfall final grid index falls below the average for that area. Weather data is collected using NOAA CPC data, not from specific weather stations near the insured operations.
What are index intervals?
Index intervals are two-month time periods during the crop year when rain is most important to your operation. Producers must choose at least two index intervals and decide on the percentage of acreage they’d like to insure within each index interval.
Each index interval must include between 10 percent and 60 percent of the insured acreage. It is not possible to put more than 60 percent into a single index interval. Also, the total percentage of insured acreage in your index intervals must equal 100 percent.
Is PRF available in every state?
Producers and farmers can obtain PRF insurance in Arizona and any other regions throughout the United States. This excludes any grids that cross international borders. Each grid and region has its own set of historical indices which impacts the premiums and indemnities for forage insurance, pasture insurance, and rangeland insurance.
PRF insurance provides producers and farmers with a risk management tool that covers the precipitation needed for pasture, rangeland, and forage.
When choosing a PRF insurance policy, a productivity value is determined for the acreage to be insured, using the final rainfall grid index as a reference.
How is PRF policy coverage determined?
The coverage level for a producer’s operation is calculated using weather data collected from the NOAA CPC data along with specific questions about the insured acreage and its grid location. A grid is the physical area where your insured operation is located. If your operation is located in multiple grids, you can insure one or more grids, depending on your goals. If you’re interested in a pasture, rangeland, and forage (PRF) insurance policy, don’t hesitate to reach out to us!
Under a pasture, rangeland, forage (PRF) policy, coverage for grazing land is determined based on the final grid index (rainfall index) for that area. The trigger grid index is determined using official weather data so the PRF program can provide adequate insurance coverage for producers.
What does "area-based" PRF insurance mean?
A Pasture, Range, Forage (PRF) policy is area-based, which means that insurance payments are based on the rainfall index difference between actual rainfall and the historic rainfall index.
Note that the intended use of a pasture, rangeland, forage (PRF) policy is to provide coverage for expected rainfall in specific intervals, not against ongoing or severe drought.
