By Jamie Martin
The U.S. Department of Agriculture (USDA) has triggered indemnity payments under the Hurricane Insurance Protection-Wind Index (HIP-WI) due to Hurricane Debby, committing over $200 million to aid recovery efforts. This move comes as part of the USDA's Risk Management Agency's efforts to support producers facing natural disasters.
The payments are set to be distributed by Approved Insurance Providers (AIPs) within 30 days, targeting producers in several states with significant agricultural losses.
Notable payouts include $11.8 million in Florida and over $97.8 million in North Carolina, reflecting the extensive damage and economic strain caused by the hurricane.
This financial support is critical for the recovery of the farming community, ensuring stability and continuity in agricultural operations impacted by Hurricane Debby.
The HIP-WI program, expanded last year to include the Tropical Storm Option, provides comprehensive coverage against losses due to hurricanes and tropical storms, demonstrating its value as an essential risk management tool.
The USDA continues to enhance its insurance offerings, evidenced by recent expansions in coverage for specialty crops and the introduction of new endorsements like the Fire Insurance Protection-Smoke Index for California grape producers. These developments underscore the USDA's commitment to adapting its policies to meet the evolving needs of America’s farmers and ensuring the resilience of the rural economy.
Photo Credit: usda
Categories: National