What Replant Option Is
The Replant Option provides extra coverage to cover expenses when a covered peril causes a grower to replant all or a portion of a field.
The Replant Option is bought in conjunction with a Multi-Peril Crop Insurance (MPCI) policy. It supplements the MPCI policy to help cover expenses above the loss payment of the MPCI policy.
COVERED PERILS OF REPLANT OPTION
Adverse weather conditions
Fire
Fire
Earthquake
Volcanic Eruption
Irrigation Failure**
*No insufficient or improper application of pest or disease control measures. **Due to an unavoidable cause after the beginning of planting.
Main Policy Details
- Indemnity payment to cover replanting expenses
- Grower chooses $20, $30, or $40 per acre coverage level
- Must be paired with MPCI policy
- Not able to be paired with CAT or Margin Protection policy
- Replant Option must be selected by March 15th Sales Closing Date
- Must be approved by PRM before coverage in effect
Replant Option Coverage Timeline
- Coverage begins when the crop is planted subject to earliest plant date
- Coverage ends on the final planting date or late planting period
Loss Payment Calculations
The Replant Option combines with the MPCI policy during a loss and the total payment canโt be more than the overall cost to replant. If the combination is under the overall cost to replant, the full Replant Option wonโt be paid.
Total Insurance Limit
Coverage per acre * Total acres * Share
$40 per acre * 100 acres * 100% share = $4,000 limit
Replant Loss Amount
Coverage per acre * Acres Replanted * Share
$40 per acre * 25 acres * 100% share = $1,000 payment
Total Cost to replant 25 acres
$2,000 total
Replant Option and MPCI Payment Combination
$1000 Replant Option + $400 MPCI Replant < $2000 cost to replant
Grower receives full $1000 Replant Option Payment