USDA CUTS RED TAPE TO SPEED LOSS PAYMENTS TO FARMERS Release No. 0419.99 Eric Edgington (202) 690-2539 Eric_Edgington@wdc.usda.gov USDA CUTS RED TAPE TO SPEED LOSS PAYMENTS TO FARMERS WASHINGTON, Oct. 19, 1999 Agriculture Secretary Dan Glickman announced today that USDA has streamlined crop insurance procedures to speed payments to insured farmers devastated by floods caused by recent hurricanes. Under most conditions, loss adjusters are currently required to verify insured acres before authorizing payments. Under today's announcement, adjusters can accept the acres certified by the farmer so payments are not delayed waiting for flood waters to recede. Verification of self-certified acres will be checked at a later date to avoid fraud. Another rule change reduces the number of samples needed to determine crop losses. Generally, the amount of paperwork and time needed to complete a claim will be reduced. "These common sense changes will enable faster and more efficient distribution of crop insurance payments to farmers devastated by hurricanes," said Glickman. In 1999, USDA's Risk Management Agency (RMA) provided North Carolina's producers more than $902 million in protection through over 27,000 policies covering 2.8 million acres (67 percent of all insurable crop acreage). North Carolina farmers will be receiving indemnities of more than $162 million due to damage caused by hurricanes. RMA's decision to streamline loss adjustment procedures for most insured crops applies only in the counties hardest hit by the hurricanes. Those counties are: NORTH CAROLINA: Beaufort Bertie Bladen Brunswick Camden Carteret Chowan Columbus Craven Cumberland Currituck Dare Duplin Edgecombe Gates Greene Halifax Harnett Hertford Hoke Hyde Johnston Jones Lenoir Martin Nash New Hanover Northampton Onslow Pamlico Pasquotank Pender Perquimans Pitt Roberson Sampson Scotland Tyrrell Washington Wayne Wilson SOUTH CAROLINA: Horry VIRGINIA Accomack Charles City Chesapeake Greenville Isle of Wight James City Northhampton Prince George Southampton Suffolk City Surry Sussex Virginia Beach Additional disaster relief information can be obtained at www.usda.gov/disaster/index.htm. #