University of Maryland Extension

2014 Farm Bill Makes Changes to the Noninsured Crop Disaster Assistance Program

Author: 
Paul Goeringer

Photo by Edwin Remsberg

The Noninsured Crop Disaster Assistance Program (NAP) was established in 1994 and administered by USDA’s Farm Service Agency (FSA).  NAP is a risk management tool for those producers growing crops not currently covered by a crop insurance product.  The 2014 Farm Bill reauthorized NAP and made some dramatic changes to the program.  NAP now offers coverage from the 50-percent level to the 65-percent level with producers able to buy-up coverage in 5-percent increments at up to 100 percent of the established market price.  Prior to the 2014 Farm Bill, NAP had only allowed coverage at the 50-percent level and 55 percent of the established market price of the crop.

To continue reading the article, click over to the Maryland Risk Management Education Blog.

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