WV Small Farm Center

Apple and Peach Crop Insurance

Apples

Who is covered? Apple and peach insurance is currently available in the following counties of West Virginia: Berkeley, Calhoun, Hampshire, Hardy, Harrison, Jefferson, McDowell, Mercer, Mineral, Monroe, Morgan, Nicholas, Putnam, Webster.

What is insured? Any variety of apples adapted to the area located on insurable acreage that has produced at least 150 bushels per acre in one of the past 4 years. Policy offers basic coverage against damage from natural perils resulting in fresh or processing fruit that fails to grade U.S. No. 1 Processing or better.

What does it protect against?
  • Adverse weather condition
  • Failure of irrigation water supply
  • Fire
  • Insects
  • Plant disease
  • Wildlife

What are the next steps? Deadline for apple insurance coverage is November 20 . Coverage then begins on November 21, and ends at the earliest of: (1) total destruction of the crop, (2) harvest of the crop, (3) final adjustment of a claim, (4) abandonment of the orchard, (5) November 5 of the following year.

Understanding the terminology:
Average APH (Actual Production History) Yield- Your average yield per acre based on your actual production history, county yields, or other adjusted yields if appropriate.

Price Election- An established price used to calculate your premium and indemnity.

Price Elections Amounts
Fresh ….................... $10.10
Processing …............. $3.05
Varietal Group A…......$12.45
Varietal Group B …..... $9.25

Group A Varieties include: Braeburn, Cameo, Crispin, Fuji, Gala, Honeycrisp, Jonagold, Macoun, Pink Lady, Royal Gala, and Sommerfeld. Group B Varieties include all others not listed in Group A.

Coverage Levels and Premium Subsidies
Coverage levels range from 50 to 75 percent of your average yield and are subsidized as shown below. (For example, an average APH yield of 500 bushels per acre would result in a guarantee of 250 bushels per acre at the 50-percent coverage level. You may elect different coverage levels for fresh and processing apples.

Apple Coverage Levels

Example: 500 bushels per acre average yield, 60% coverage level, no optional coverage.

500 Bushels per acre APH yield
+ x .60+ Coverage level percentage
300 Bushels per acre guarantee
-100 Bushels per acre production
200 Bushels per acre loss
x $10.10 Price election (fresh)
$2,020 Indemnity per acre
- $75 Estimated producer cost
$1,945 Net indemnity per acre

AGENT LOCATOR

Peaches

Who is covered? Berkeley, Hampshire, Jefferson, Mineral, Monroe, Morgan. Peaches in other counties may be insurable by written agreement if specific criteria are met.

What is insured? Peaches (including nectarines) may be insurable if they are grown within the county:
  • For the production of fresh or processing peaches
  • From tree varieties having a chilling hour requirement appropriate for the area
  • From a rootstock adapted to the area
  • In an orchard that is considered acceptable
  • On trees that have reached at least the fourth growing season after being set out.
What does it protect against?
  • Adverse weather conditions such as hail, frost, freeze, drought, excess moisture
  • Failure of irrigation water supply
  • Fire
  • Insects
  • Insufficient number of chilling hours
  • Plant disease
  • Wildlife

What are the next steps? Check Deadlines Deadline for apple insurance coverage is November 20 . Coverage then begins on November 21, and ends at the earliest of: (1) total destruction of the crop, (2) harvest of the crop, (3) final adjustment of a claim, (4) abandonment of the orchard, (5) November 5 of the following year.

Understanding the terminology:
Acreage Report-An acreage report is due to your agent by the date shown under Important Dates to include all acreage (insurable and uninsurable) in which you have a share.

Production Report-Required by the date shown under Important Dates and must include the following information. This includes a report of the previous year’s production, tree information such as numbers, ages, varieties, and any changes in your production that may adversely affect yield.

Production Guarantee—Number of bushels guaranteed per acre determined by multiplying your average yield (based on your records) times the coverage level percentage you elect.

Peaches Coverage Levels

Price Elections
Fresh…..................$12.25
Processing…............$4.75

Example: 50 percent coverage, fresh price election, and average yield of 250 bushels per acre.

250 Bushels per acre APH yield
x .50 Coverage level percentage
125 Bushels per acre guarantee
- 25 Bushels per acre production
100 Bushels per acre loss
x12.25 Price election (fresh)
$ 1,225 Indemnity per acre
- $69 Estimated producer cost
$1,156 Net indemnity per acre

AGENT LOCATOR