Crop Insured
All the main types of citrus (oranges, lemons, grapefruit, mandarins/tangerines and tangelos) are insurable, but not all citrus crops are insurable in all counties. Trees must have reached (particular level to be insured) at least the sixth growing season after being set out to be insurable without a written agreement. Growers must insure all their acreage of a particular type of crop in the county. Since each crop is a separate insurance unit, one can choose to insure on type and not another. For example a grower could insure all his lemon acreage and none of his grapefruit.

Counties Available
Different types of citrus crops are available in Fresno, Glenn, Imperial, Kern, Madera, Monterey, Orange, San Bernardino, San Diego, San Luis Obispo, Santa Barbra, Tulare, Ventura, and Riverside counties. Citrus in other counties may be insurable by written agreement if specific criteria are met. Contact an agent for more details.

Causes of Loss
Adverse weather conditions 1
Failure of irrigation water supply 2
Fire 3
Insects 4
Plant disease 4
Wildlife 5

1 Natural perils such as hail, frost, freeze, wind, drought, and excess moisture,
2 If caused by an insured peril during insurance period.
3 Unless weeds and undergrowth are not controlled or un-mulched pruning debris is not removed.
4 But not damage due to insufficient or improper application of control measures.
5 Unless wildlife control measures have not been taken.

Insurance Period
In order to insure the crop, California growers must apply for coverage with a crop insurance agent by November 20, 2006. Then their citrus crops will be insured from bloom until the end of harvest in 2008.

Important Dates
Sales Closing.....................................November 20
Acreage Report Due.............................January 10
Note: Dates may vary by county and/or state.

Coverage Levels and Premium Subsidies
The guarantee is based on an individuals production history. Citrus production is measured in the number of cartons packed for fresh - market sales. Growers are asked to provide 4 - 10 years of production records from which their insurance agent calculates their average yield. Growers can select coverage levels from 50 to 75 percent of their individual approved average yield and 50 to 100 percent of the price determined by USDA, or catastrophic risk protection based on 50 percent of their yield and 55 percent of the price.

Price Election
Price used to calculate your premium and indemnity. For citrus, price elections vary by crop and are re-calculated each year. Please consult your insurance agent for current price election.

Cost of Crop Insurance
The Agricultural Risk Protection Act of 2000 raised the subsidies for federal crop insurance premiums substantially. For CAT coverage, growers pay an application fee of $100 with 100 percent of the premiums being fully subsidized. Higher levels are subsidized at lower rates but USDA pays at least 50 percent of the premium. For more detailed information about the amounts of coverage and premiums, please contact a crop insurance agent (CIA) or your local count FSA office for agent listing.

Loss Example
A claim can be filed whenever production falls short of the guarantee selected by the insured. The amount of a loss is determined by multiplying the production shortfall by the pre-selected price.

Based on actual production history (APH) yield of 400 cartons per acre, 50 percent coverage level on 100 acres of citrus fruits, selected price of $5.00 per carton, 100 percent share.

  400 Cartons per acre average yield (APH)       
x .50 Coverage level percentage
  200 Cartons per  acre guarantee
- 100 Cartons per acre actually produced
  100 Cartons per acre loss
x $5.25 Price Election
 $5.25 Gross indemnity per acre