Spring 2018 Newsletter

Downloadable Newsletter Version

2018 PRICES

Your federally subsidized crop insurance will use something close to these figures to calculate your insurance guarantees for spring planted crops. These figures reflect the February price tracking through the 22nd and may change slightly once the final 4 trading days in February lapse. 

Conventional Grain Organic Certified
Corn $3.95 $
Soybean $10.20 $
Wheat $ $
Durum (SD only) $ $
Sunflower Oil $ $
Sunflower Conf $

Organic Prices for certified fields will also be finalized after February trading closes. Contract pricing for food grade types can also be an option (see agent for more details). We will post all finalized prices on our website once they are announced. 

PLANT DATES

Planting periods for Western MN counties are charted below. Any seeding prior to the first plant date annuls replant coverage.

CORN = April 11 – May 31

SOYBEAN = April 21 – June 10 

WHEAT = March 21 – May 15 

RPOWERD

There is a new game in town, and unfortunately, it’s much like the old ones. The same company that invented PriceFlex has combined all the components of these commodity pricing schemes into one product. The options are impressive, yet the cost is astronomical ($50-$170 range!). Some quotes’ premiums nearly match the liability offered! Unless there were to be some huge price spike in March, we see no reason to push RpowerD at this time. Most shockingly, as of 2/22/18, it hasn’t been approved for sale in MN yet, which is extremely late for product approval and removes most of the advantages the policy claims to provide. 

POLICY UPDATE

There are a few small topics, so we’ll try to keep it short. First of all, the Prevent Plant 70% option no longer exists. You may still buy up to 65%, but it’s often more efficient to just choose a higher coverage level on your crop insurance and just take the 60% PP that’s already built in to the basic policy. 

Second, your premium subsidy will still be tied to conservation compliance at the USDA (form 1026AD). Any new farmers just need to ensure they have this form signed and on file at the governing FSA office before June 1st of the year they begin farming. Also, beginning farmers should check on premium discount eligibility BEFORE March 15. If you plan on bringing someone new in, let us know as soon as you know. 

Next, let’s address 3rd party damage, as in spray drift of some type that can be attributed to off label application. In such cases, the affected acres are considered an uninsurable cause of loss. This means that the crop insurer will not pay for damage that someone else should be held liable for. However, you can choose to exclude affected acres from the production history in order to protect your yield calculations. This will require notification of loss to the insurer and proper documentation of the affected acres. 

Lastly, if you have any “native sod” that is being broken up into production and you don’t know if it has ever been row cropped before, stop in and talk to an agent about insurability issues that may come up. 

THE OUTLOOK

We’ve always promoted a sane, common sense approach to affordable policies that protect investments and let you keep the profits. As we move into more unsure times, it’s more important than ever to have an agency that places your business ahead of its own commissions. Being a small, independent company, the only thing that we at Haugen Insurance can offer you is the best service possible. Our success depends on yours, which is why we’ve spent a lot of time during the ‘good’ years telling you to not buy the expensive add-ons and profit taking schemes promoted by some agents. Thank you for your continued business and support. 

INDEPENDENT INSURANCE AGENTS SPECIALIZING IN MULTI-PERIL AND CROP HAIL COVERAGE SINCE 1986 

WWW.HAUGENCROPINS.COM

Madison 320-598-3332 Ortonville 320-839-2896

Peter 320-894-0747

Tim 320-305-1315

Duane 320-226-5056 

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