INFORMATIONAL MEMORANDUM:  R&D-96-059
     
TO:      All Reinsured Companies
         All Risk Management Field Offices
         FSA Headquarters, Program Delivery and Field Operations
     
FROM:    Tim B. Witt
         Director
         Research and Development Division
     
SUBJECT: Update on MGR-96-041 - Transferring Catastrophic Risk Protection
         Policies 
     
BACKGROUND:
     
Manager's Bulletin MGR-96-041 provided procedure for transferring catastrophic 
risk protection (CAT) policies from Farm Service Agency local offices to 
reinsured companies in States approved by the Secretary.  Policies that had 
not been voluntarily transferred on crops with sales closing dates of 
December 31, 1996, or earlier were to be assigned to a reinsured company 
during the week of August 19, 1996.  All other policies that were not 
transferred were to be assigned to a reinsured company during the week of 
November 18, 1996.  Reinsured companies were to be notified of the assignment 
of the policies by the Federal Crop Insurance Corporation (FCIC) and were to 
contact the insured within 10 working days of the assignment. 

FCIC assigned all of the policies during the week of August 19, 1996, 
including those that were scheduled to be assigned during the week of 
November 18, 1996.
 
ACTION:
     
Since FCIC assigned all of the remaining CAT policies during the week of 
August 19, 1996, reinsured companies are not required to contact their 
assigned CAT policyholders with only sales closing dates after December 31, 
1996, within the 10 days as outlined in MGR-96-041.  However, companies are 
ecouraged to contact all policyholders as early as possible.