INFORMATIONAL MEMORANDUM: R&D-95-049

TO:       All Reinsured Companies
          All Risk Management Field Offices

FROM:     Tim B. Witt         /s/ Roberta E. Waggoner (for)
          Director
          Research and Development Division

SUBJECT:  Clarification of Acreage Reporting Requirements
          for Wheat Insured Under the  Winter Wheat
          Coverage Endorsement


ISSUE:

What are the reporting requirements for winter wheat
acreage planted on or before the final planting date for
coverage under the Winter Wheat Coverage Endorsement?
 
DISCUSSION:

Questions have been received asking if all winter wheat
acreage eligible for coverage under the Winter Wheat
Coverage Endorsement has to be insured under the
endorsement; or, if a producer may elect to insure only a
portion of such acreage under the endorsement.  For
example, if an insured plants 500 acres of winter wheat
that is eligible for coverage provided by the endorsement,
could the insured elect to insure 250 acres under the
endorsement and the other 250 acres under basic coverage?

Premium rates for the endorsement are based, in part, on
the assumption that all eligible acreage is insured under
the endorsement.  This prevents insureds from electing
insurance under the endorsement only on acreage that is
more susceptible to winter damage, and keeps premium rates
more affordable for all insureds.

ACTION:

All winter wheat acreage eligible for coverage under the
endorsement (i.e. planted by the final planting date
applicable for the endorsement) must be insured under the
endorsement.  When acreage that should be insured under the
endorsement is not reported by the appropriate acreage
reporting date, the insurer will apply provisions regarding
unreported or under-reported acreage contained in section
6 (Report of Acreage) of the Basic Provisions of the Common
Crop Insurance Policy, as applicable.  

Note:  The Winter Wheat Coverage Endorsement is not
applicable to CAT policies.