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FCIC Interpretation of Procedure

Risk Management Agency Interpretation of Federal Crop Insurance Corporation Provisions:

Subject: Request dated April 5, 2021, to the Risk Management Agency for an interpretation 

regarding whether sections 15(a) and (j) of the 2018 Whole-Farm Revenue Protection (WFRP) Pilot 

Policy requires an insured to provide all information required in the reports under the WFRP Pilot 

Policy, including but not limited to, expected yields and expected values as defined in the WFRP Pilot 

Policy.

The relevant policy provisions provided by the requestor are sections 15(a), (i), (j)(2), (k), 22(b)(2)

and 9(g):

15. Required Reports.

(a) On or before the sales closing date for each policy year you must provide:

(1) Your completed Whole-Farm History Report in accordance with section 16; and

(2) Your Intended Farm Operation Report in accordance with section 17.

...

(i) If you fail to timely submit any required information, or we are unable to verify the 

information that was submitted, we will deny any indemnity, or replant payment and you 

will still be required to pay the premium due.

(j) You must provide, sign and certify all required reports and you are responsible for the 

accuracy of all information contained in those reports. You should verify the information 

on all reports prior to submitting them to us. If you submit information on any report that 

is different than what is determined to be correct and the information you originally 

submitted resulted in:

...

(2) A higher insured revenue than the corrected insured revenue, the information 

contained in the Farm Operation Report will be revised to be consistent with the 

correct information and your insured revenue will be lowered to the correct amount.

(k) If we discover you have incorrectly reported any information on your reports for any policy 

year, corrections may be made if authorized in section 41 but you may be required to 

provide documentation in subsequent policy years substantiating your reports for those 

policy years, including, but not limited to, an acreage measurement service at your own 

expense. If the correction of any misreported information would affect an indemnity, or 

replant payment that was paid in a prior policy year, the claim will be adjusted and you 

will be required to repay any overpaid amounts.

(l) Errors in reporting may be corrected by us at any time we discover the incorrect 

information unless corrections are authorized in section 41.

22. Your Duties in the Event of Damage or Loss.

...

(b) In case of potential loss of revenue under this policy, you must:

...

(2) Cooperate with us in the settlement or investigation of your claim, and, as often as we 

reasonably require:
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FCIC Interpretation of Procedure

...

(iii) Provide us with the verifiable records and documents we request and permit us to 

make copies...;

9. Coverage

...

(g) We will reduce your approved revenue and any indemnity or deny coverage at any time we 

become aware that the information used to determine your approved revenue is incorrect 

or is not supported by verifiable records.

Interpretation Submitted by Requestor(s)

The requestor interprets sections 15(a) and (j) of the Whole-Farm Revenue Protection (WFRP) Pilot 

Policy to place the burden entirely on the insured to fully, accurately and timely provide the all 

information contained and required in the reports required under the WFRP policy, including but not 

limited to, expected yields and expected values as defined in the WFRP policy. Specifically, the 

requestor interprets section 17(a)(2), that the insured is required to provide to the AIP, an Intended 

Farm Operation Report (IFOR) on or before the sales closing date, which must include expected 

revenue for each intended commodity with yields reflecting the amount of saleable production and 

expected values reflecting the expected sales price by markets where the crop is normally sold. The 

requestor also interprets section 22(b)(iii) to mean the AIP is authorized to request and the insured is 

required to provide records to support the information and sources cited to determine the expected 

yield and expected values. The language found in the Expected Value and Yield Source Certification 

Worksheet specifically provides that: “I certify that to the best of my knowledge and belief all of the 

information on this form is correct. I understand that the information on this form may be reviewed 

and audited, and used to determine my loss, if any, for the policy listed above, I understand that 

inaccurate information or my failure to retain or provide, upon request, records supporting the 

information on this form may result in denial of coverage, cancellation of my policy, and ineligibility 

for indemnity, or recalculation of insured revenue.” The requestor interprets these provisions to 

require the insured to provide, upon request from the AIP, additional information, and records to 

support the expected yields and expected values reported by the insured on the IFOR. Where an 

insured fails to timely provide all of the requested records and information to support sources used to 

determine the expected yields and/or expected values, the requestor interprets section 15(i) to allow 

the AIP to deny any indemnity under the WFRP policy if the AIP is unable to verify the information 

that was submitted. Further, if the AIP determines that the expected yields and/or expected values 

initially reported by the insured is incomplete or inaccurate, the AIP is required to reduce and lower 

the expected revenue to the correct amount pursuant to section 15(j)(2). The requestor also interprets 

section 15(j)(2), in conjunction with section 9(g), to authorize and require the AIP to reduce approved 

revenue and indemnity at any time the AIP determines that the approved revenue is incorrect or not 

supported by verifiable records. The requestor further interprets the term “any time” to authorize and 

require an AIP to correct and reduce approved revenue during the application process, any reviews or 

audits, or in connection with a loss adjustment after a claim has been made.

Federal Crop Insurance Corporation Determination

FCIC agrees with the requestor’s interpretation of sections 15(a) and (j). The insured must provide all 

information contained and required on the report(s) used in the 2018 WFRP Pilot Policy, including but 

not limited to, expected yield(s) and expected value(s) for each commodity listed on the Farm 

Operation Report. FCIC also agrees with the requestor, that if the AIP is unable to verify information 
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FCIC Interpretation of Procedure

submitted by the insured, section 15(i) allows the AIP to deny the indemnity. Finally, FCIC agrees 

with the requestor that section 15(j)(2) allows the AIP to reduce and lower the expected revenue to the 

correct amount, if they determine the expected yield(s) or expected value(s) initially reported by the 

insured are incomplete or incorrect.

In accordance with section 33(a)(1) of the WFRP Pilot Policy, this FCIC interpretation is generally 

applicable and binding in any mediation or arbitration. In accordance with section 33(a)(1), any 

appeal of this interpretation must be in accordance with 7 C.F.R. part 11.