November 30, 1998


INFORMATIONAL MEMORANDUM: R&D-98-066

TO:      All Reinsured Companies
         All Risk Management Field Offices

FROM:    Tim B. Witt         /s/ Tim B. Witt
         Deputy Administrator

SUBJECT: 1999 Basic Provisions, Cotton and ELS Cotton Crop Provisions, Catastrophic
         Risk Protection Endorsement, Income Protection (IP) Crop Provisions, Crop
         Revenue Coverage (CRC) Policies and Related Documents, Revenue Assurance
         (RA) Policies and Related Documents

The Risk Management Agency (RMA) proposed changes to the Common Crop Insurance
Regulations, Basic Provisions, and Cotton and ELS Cotton Crop Provisions in the Federal
Register.  RMA received comments to these proposed changes during the proposed rule
comment period and has reviewed and responded to the comments, made revisions where
appropriate, and published these regulations as final rules.  An interim rule impacting some
provisions of the Basic Provisions and the Catastrophic Risk Protection Endorsement has also
been finalized.  The IP Crop Provisions were revised to agree with the Basic Provisions and the
Catastrophic Risk Protection Endorsement.  Crop Revenue Coverage and Revenue Assurance
policy documents have also been updated.

The new basic and crop provisions will be effective for the 1999 and succeeding crop years for
all crops with a contract change date of November 30, 1998, or December 31, 1998, and for the
2000 or 2001 and succeeding crop years for all crops with contract change dates prior to
November 30, 1998.  Provisions of the new Catastrophic Risk Protection Endorsement are
effective for crop insurance policies with a sales closing date after July 1, 1998.  Crop insurance
policies with a sales closing date prior to July 1, 1998, will not be affected by provisions of the
new endorsement until the 2000 reinsurance year. 

Today, RMA placed on the Reporting Organization (RO) Server the following Multiple Peril
Crop Insurance and IP documents: 
 
  1.     Revised Common Crop Insurance Policy Basic Provisions, 
  2.     Cotton and ELS Cotton Crop Provisions, 
  3.     Catastrophic Risk Protection Endorsement,
  4.     Income Protection Crop Provisions (Barley, Corn, Cotton, Grain Sorghum, Soybeans and
         Wheat)

In addition, RMA placed on the RO Server the following private products effective for 1999
spring crops:

    1.   CRC Basic Policy,
    2.   CRC Coarse Grains Crop Provisions,
    3.   CRC Commodity Exchange Endorsement - Coarse Grains,
    4.   CRC Coarse Grains Underwriting Rules,
    5.   CRC Corn, Soybeans, and Grain Sorghum Question and Answers,
    6.   CRC Cotton Crop Provisions,
    7.   CRC Commodity Exchange Endorsement - Cotton,
    8.   CRC Cotton Underwriting Rules,
    9.   CRC Cotton Questions and Answers, 
   10.   CRC FCI-35 R-Span Base Rate Premium Calculation Worksheet.  (This is a blank       
         worksheet for computing CRC producer-paid premiums for spring crops other than      
         Rice),
   11.   CRC High Risk Classification Premium Calculation Worksheet.  (This is a blank      
         worksheet for computing CRC producer-paid premiums involving High Risk                  
         Classification Premium Factor Rules and Formula for spring crops other than Rice),
   12.   CRC Rice Crop Provisions,
   13.   CRC Commodity Exchange Endorsement - Rice,
   14.   CRC Rice Underwriting Rules,
   15.   CRC Rice Questions and Answers, 
   16.   Rice CRC FCI-35 R-Span Base Rate Premium Calculation Worksheet  (This is a blank 
         worksheet for computing CRC producer-paid premiums for Rice),
   17.   Rice CRC High Risk Classification Premium Calculation Worksheet   (This is a blank
         worksheet for computing CRC producer-paid premiums for Rice),   
   18.   RA Basic Provisions,
   19.   RA Corn and Soybean Crop Provisions,
   20.   RA Disclosure Statement,
   21.   RA Questions and Answers for corn and soybeans
   22.   RA Underwriting Rules for corn and soybeans, and
   23.   RA Side-by-Side Comparison.

Please refer to the actual provisions for complete information.  The policies are available on the
RMA WebSite at http://www.act.fcic.usda.gov/actuarial/index.html under the FTP Download
directory.

If you have any questions, please contact the Product Development Division at (816) 926-7387.

DISPOSAL:  This informational memorandum is for the purpose of transmitting/updating
information and the expiration date is December 31, 1998.