Today Is the Deadline to Enroll in the Dual-Purpose Annual Forage Insurance Program
If you’re a dual-purpose wheat producer in Texas, today—July 15—is your last chance to enroll in the Dual-Purpose Annual Forage Insurance Program for next season. With summer in full swing, now is the time to make risk management decisions that could make a big difference come drought season.
This USDA-backed insurance program is designed to protect operations growing annual forage crops, like wheat, for both grazing and grain. It’s been a game-changer for many producers across Texas, helping to buffer the financial blow of unpredictable rainfall and extreme weather.
Why Consider This Program?
Dual-purpose wheat operations are uniquely exposed to risk, as forage and grain are both on the line. The Annual Forage Insurance Program helps producers manage this by offering coverage tied to rainfall patterns. Rather than tracking crop conditions directly, it uses a rainfall index developed by NOAA to determine payouts.
When rainfall falls below historical averages for your selected grid area, indemnity payments are triggered, offering financial support during tough seasons.
How It Works
Here’s a quick rundown using the USDA’s support tool (available at http://af.agforceusa.com/ri):
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Select your location and planting date.
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Choose coverage level and productivity factor (e.g., 90% and 100%).
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Decide how to spread your insurance over bi-monthly intervals (common split: 30% Oct–Nov, 30% Dec–Jan, 40% Feb–Mar).
For example, in Grid ID 16923 (near Lockett, TX), the estimated premium is $12.57/acre, and in 2022, it yielded an indemnity of $43.52/acre, resulting in a net gain of $30.95/acre.
Over the past 20 years, the average net return has been $8.15/acre after premium costs.
Bottom Line
This program won’t replace every dollar lost in a drought, but it’s a valuable tool to mitigate risk and stabilize income. And the real benefit shows in drought years—when producers need it most.
Again, the enrollment deadline is today, July 15. Contact your insurance agent before the day ends to lock in coverage for your operation.