Crop-Hail Insurance
Most of the other row crop plans listed on this site are MPCI plans. That is Multi-Peril Crop Insurance. MPCI is federally subsidized protection that the Federal Crop Insurance Corporation/Risk Management Agency/USDA all have their hands in. In my opinion, MPCI should be the backbone of risk management plans for almost every row crop farming operation. I think it is great because farmers get a portion of the premium paid for them, which lowers their cost.
However, each Approved Insurance Provider (AIP) that sells/writes crop insurance, likely also has a policy through their own company, one that is not subsidized by the federal government and one that the AIP sets the standard for this type policy, not the Risk Management Agency. Some of these individual policies can be added to an existing MPCI plan for better coverage, and some are meant to be stand-alone policies. These individual policies, through the AIP, can certainly have their place in a risk management plan for farmers, and I think are at least looking into.
Crop-Hail Policies (not subsidized)
This policy is purchased on a value per acre. Rates are given for $100/acre of insurance. $75 policy minimum
Indemnity is paid on damaged acres. The damage is appraised as percentage, and then the percentage is applied to the dollar amount of purchased coverage for that crop on those acres.
Some policies include a deductible.
Here are a few of the non-MPCI policies that I currently recommend:
1. Basic Crop Hail policy (full coverage) – this is the most common policy sold.
No deductible
payment for any damage. Pmt = % loss x insurance/acre
Catastrophe Loss Award (CLA) paid after 70% Damage.
2. DXS5
5% deductible, same as basic after 25% loss. For 6-24% losses, subtract 5% and multiply by 1.25 for payments.
CLA after 70%
3. DXS10 (specialty crops)
10% deductible
Same as basic after 50% loss.
For 11-49% losses, subtract 10% and multiply by 1.25 for payments
CLA after 70%
Items covered:
*As always, each policy can be different, read the policy provisions specific to your own individual policy.
Fire and Lightning - Before harvest and while the crop is stored in the bin. Also covers the fire department service charge, up to $500
Transit – Coverage is excess over any other coverage. Covered to the first place of storage (less than 100 miles and from 1st point of storage to elevator - less than 100 miles). Covered for loss caused by:
Fire and lightning
Windstorm, collision
Overturn
Collapse of bridges, docks, culverts
Vandalism and Malicious Mischief – damage must exceed $100 per occurrence; theft or bin fire
Stored grain – corn, soybeans, and small grains in the first place of non-commercial storage must be covered
Here are a few of the most popular Optional Endorsements for Crop-Hail -
Green Snap Corn - Green snap is defined as corn stalks that break at a node above brace roots and below the ear so that the ears cannot be harvested.
Wind endorsement - Wind includes green snap stalk does not have to be severed but is unrecoverable by mechanical means
Extra harvesting Expense - Extra harvesting expense to help with cost of harvesting field one direction (when crop is lying on ground)
A few items to note about this type policy:
No coverage for loss due to insects, disease, chemical damage, or any other cause but wind
Coverage begins at crop emergence
The end of coverage depends on the endorsement selected - usually Oct 1st or Nov 1st
Coverage for stored grain empires on October 1st of the following year
Rates vary state to state.
Replanting destroyed crops – payment is actual percentage of loss minus deductible or actual cost of replanting, not to exceed 20% of the insurance applying to each acre plus a yield reduction payment according to company tables. (Only adjuster can determine if replant payments will be made)
Soybean losses may include a percentage due to delay in replanting
Duties after a loss
The insured must give written notice to the insurance company within 10 days after the occurrence of one of the insured perils
Insured must continue to care for crop after hail damage (spray for weeds, aphids, etc. to prevent further damage)
Other factors that are needed to provide a quote for how much this plan will cost you are (not limited to) what crop are you growing, what county and state are you in, what is the county/individual policyholder’s yield, and what options you would like to add to the base policy.
I would love to get you a quote if you are interested in this plan, so please reach out with any questions you may have.
Updated 5/24/2025
This information is not all inclusive and is meant to be used for general guidelines for educational purposes only. You the reader assume full responsibility for how you choose to use it. For additional information, please see crop provisions, reference the crop insurance handbook or loss adjustment manual, or contact your crop insurance agent. This institution is an equal opportunity provider and employer.