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. This depends on whether the insured acreage is located in 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.

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.

Producers and farmers can obtain crop insurance in California 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. These indices impact the premiums and indemnities for forage insurance, pasture insurance, and rangeland insurance.

Pasture, rangeland, and forage insurance provides producers and farmers with a risk management tool that covers the precipitation needed for pasture, rangeland, and forage.

When choosing an insurance policy, a productivity value is determined for the acreage to be insured. PRF insurance policies refer to the final rainfall grid index as a reference.

The coverage level for a producer’s operation is calculated using weather data collected from the NOAA CPC data. This information is combined a producer’s responses to 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, the final grid index (rainfall index) for that area determines the coverage for grazing land. The trigger grid index is determined using official weather data so the PRF program can provide adequate insurance coverage for producers.

A Pasture, Range, Forage (PRF) policy is area-based. Area-based means that insurance payments are based on the rainfall index difference between actual rainfall and the historic rainfall index.

A PRF insurance policy provides coverage for expected rainfall in specific intervals, not against ongoing or severe drought.