Processing Tomatoes

All varieties of processing tomatoes are insurable if:

• They are acceptable according to, and grown under, a processor contract;
• They are irrigated; and
• They are all of your contracted processing tomatoes.

You are protected against the following:

• Adverse weather;
• Earthquake;
• Failure of irrigation water supply;
• Fire;
• Insect damage and/or plant disease, unless you have insufficiently or improperly applied pest or disease control measures;
• Volcanic eruption; or
• Wildlife.

You must apply for coverage with a crop insurance agent before January 31 to insure the tomatoes you plan to plant and harvest that year. Coverage begins when the tomatoes are planted and ends at the earliest occurrence of one of the following:

• When the contract is fulfilled;
• Harvesting ends;
• Acreage is abandoned; or
• October 20.

Individual insurance amounts are based on your approved yield. You will be asked to provide four to 10 years of actual yield history that will be used to calculate your average yield. Coverage levels range from 50 to 75 percent of your approved yield. Crop insurance premiums are subsidized as shown in the following table. For example, if you choose the 65 percent coverage level, your premium share would be 41 percent of the base premium.

Catastrophic Risk Protection (CAT) coverage is fixed at 50 percent of your approved yield and 55 percent of the price election. CAT is 100 percent subsidized with no premium cost to you. There is, however, an administrative fee of $300 per crop per county, regardless of the acreage.

The price used to determine your premium and indemnity.

Conventional…………….……$72.50 per ton
Organic…….………….……..$108.75 per ton

Assume 70 percent coverage, 100 percent price election of $72.50 per ton, an average yield of 40 tons per acre, one basic unit, and 100 percent share.

Price used above is for example only. Contact a crop insurance agent for current information.