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‘‘(ii) the amount determined under 
subsection (c)(4)(C)(iv)(II) for the cov-
erage to cover operating and administra-
tive expenses.’’. 
(d) 
CONFORMING
AMENDMENT.—Section 
508(k)(4)(F) of the Federal Crop Insurance Act (7 U.S.C. 
1508(k)(4)(F)) is amended by inserting ‘‘or authorized 
under subsection (c)(4)(C)’’ after ‘‘of this subparagraph’’. 
(e) EFFECTIVE DATE.—The Federal Crop Insurance 
Corporation shall begin to provide additional coverage 
based on an individual yield and loss basis, supplemented 
with coverage based on an area yield and loss basis, not 
later than for the 2014 crop year. 
SEC. 11002. CROP MARGIN COVERAGE OPTION. 
(a) AVAILABILITY OF CROP MARGIN COVERAGE OP-
TION.—Section 508(c)(3) of the Federal Crop Insurance 
Act (7 U.S.C. 1508(c)) (as amended by section 11001(a)) 
is amended— 
(1) in subparagraph (A)(ii), by striking ‘‘or’’ at 
the end; 
(2) in subparagraph (B), by striking the period 
at the end and inserting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(C) a margin basis alone or in combina-
tion with— 
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‘‘(i) individual yield and loss coverage; 
or 
‘‘(ii) area yield and loss coverage.’’. 
SEC. 11003. PREMIUM AMOUNTS FOR CATASTROPHIC RISK 
PROTECTION. 
Section 508(d)(2) of the Federal Crop Insurance Act 
(7 U.S.C. 1508(d)(2)) is amended by striking subpara-
graph (A) and inserting the following: 
‘‘(A) In the case of catastrophic risk pro-
tection, the amount of the premium established 
by the Corporation for each crop for which cat-
astrophic risk protection is available shall be re-
duced by the percentage equal to the difference 
between the average loss ratio for the crop and 
100 percent, plus a reasonable reserve, as de-
termined by the Corporation.’’. 
SEC. 11004. PERMANENT ENTERPRISE UNIT. 
Section 508(e)(5) of the Federal Crop Insurance Act 
(7 U.S.C. 1508(e)(5)) is amended by striking subpara-
graph (A) and inserting the following: 
‘‘(A) IN GENERAL.—The Corporation may 
pay a portion of the premiums for plans or poli-
cies of insurance for which the insurable unit is 
defined on a whole farm or enterprise unit basis 
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that is higher than would otherwise be paid in 
accordance with paragraph (2).’’. 
SEC. 11005. ENTERPRISE UNITS FOR IRRIGATED AND NON-
IRRIGATED CROPS. 
Section 508(e)(5) of the Federal Crop Insurance Act 
(7 U.S.C. 1508(e)(5)) is amended by adding at the end 
the following: 
‘‘(D) NONIRRIGATED
CROPS.—Beginning 
with the 2014 crop year, the Corporation shall 
make available separate enterprise units for ir-
rigated and nonirrigated acreages of crops in 
counties.’’. 
SEC. 11006. DATA COLLECTION. 
Section 508(g)(2) of the Federal Crop Insurance Act 
(7 U.S.C. 1508(g)(2)) is amended by adding at the end 
the following: 
‘‘(E) SOURCES OF YIELD DATA.—To deter-
mine yields under this paragraph, the Corpora-
tion— 
‘‘(i) shall use county data collected by 
the Risk Management Agency or the Na-
tional Agricultural Statistics Service, or 
both; or 
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‘‘(ii) if sufficient county data is not 
available, may use other data considered 
appropriate by the Secretary.’’. 
SEC. 11007. ADJUSTMENT IN ACTUAL PRODUCTION HIS-
TORY TO ESTABLISH INSURABLE YIELDS. 
Section 508(g)(4)(B) of the Federal Crop Insurance 
Act (7 U.S.C. 1508(g)(4)(B)) is amended— 
(1) in the matter preceding clause (i), by insert-
ing ‘‘for the 2013 crop year or any prior crop year, 
or 65 percent of the applicable transitional yield for 
the 2014 or any subsequent crop year,’’ after ‘‘tran-
sitional yield’’; and 
(2) in clause (ii), by striking ‘‘60 percent of the 
applicable transitional yield’’ and inserting ‘‘the ap-
plicable percentage of the transitional yield described 
in this subparagraph’’. 
SEC. 11008. SUBMISSION AND REVIEW OF POLICIES. 
Section 508(h)(1) of the Federal Crop Insurance Act 
(7 U.S.C. 1508(h)(1)) is amended— 
(1) by redesignating subparagraphs (A) and 
(B) as clauses (i) and (ii), respectively, and indent-
ing appropriately; 
(2) by striking ‘‘(1) IN GENERAL.—’’ and in-
serting the following: 
‘‘(1) SUBMISSION AND REVIEW OF POLICIES.— 
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