[Federal Register Volume 59, Number 96 (Thursday, May 19, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-12198]


[[Page Unknown]]

[Federal Register: May 19, 1994]


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DEPARTMENT OF AGRICULTURE
Federal Crop Insurance Corporation

 

Approval of American Agrisurance, Inc.'s Market Value Protection 
Supplemental Crop Insurance Program

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SUMMARY: The Food, Agriculture, Conservation, and Trade Act of 1990, 
(Pub. L. 101-624) (the 1990 Farm Bill) authorizes The Federal Crop 
Insurance Corporation (FCIC) to develop new products for reinsurance. 
In accordance with the 1990 Farm Bill, FCIC has approved a Market Value 
Protection (MVP) supplemental crop insurance policy submitted by 
American Agrisurance, a managing general agency for Redland Insurance 
Company. FCIC herewith gives notice of the terms and conditions for MVP 
which will be available for use by private sector insurance companies.

FOR FURTHER INFORMATION CONTACT:
Mari L. Dunleavy, Regulatory and Procedural Development Staff, Federal 
Crop Insurance Corporation, Washington, DC 20250, telephone (202) 254-
8319.

SUPPLEMENTARY INFORMATION: Pursuant to section 508(b)(4) of the Federal 
Crop Insurance Act (7 U.S.C. 1508), as amended, FCIC is required to 
publish or make available to all persons contracting with or reinsured 
by FCIC any rates and provisions of policies approved by the 
Corporation for reinsurance in the same manner as FCIC's standard 
policies of insurance are published and made available.
    FCIC has available upon written request, MVP underwriting rules, 
and rate factors. Also available are the terms and conditions of the 
reinsurance agreement with American Agrisurance. Requests for such 
information should be sent to Mari L. Dunleavy, Regulatory and 
Procedural Development Staff, Federal Crop Insurance Corporation, 
Washington, DC 20250, telephone (202) 254-8319.
    Notice: The terms and provisions for the MVP policy of American 
Agrisurance, mandatory state endorsements, and crop endorsements are as 
follows:

Market Value Protection Policy

Article I--Insuring Agreement

    In return for the premium and compliance with all the terms and 
conditions set forth in this Policy, We will, on acceptance of Your 
application and receipt of Your premium payment by Us, provide the 
insurance described in this Policy for Your Crop(s).

Article II--Companion Coverage

    This Market Value Protection Policy provides coverage in 
conjunction with the Multiple Peril Crop Insurance Policy specified in 
the Summary of Coverage (``MPCI Policy'') and provides the coverage 
described herein on the Crop(s) only in the event that a MPCI Policy 
Indemnity Payment is made to You in regard to such Crop(s).

Article III--Terms and Conditions

Cause of Loss
    A. Losses Insured Against.
    Subject to any and all other exceptions, exclusions, and 
limitations contained in this Policy, the insurance provided is against 
such losses as specifically set forth in the endorsements to this 
policy
    B. Losses Not Insured Against.
    We do not cover any loss, as determined by Us, resulting from the 
following:

1. Your neglect, mismanagement, malfeasance, or wrongdoing, including 
any member of Your household, Your tenants, Your agents, any 
independent contractor retained by You, or Your employees.
2. Any dishonest or fraudulent act by You or by any partner, joint 
venture, officer, director or trustee, agent, or employee of Yours, 
whether acting alone or with others.
3. Any Cause of Loss not specified as a Cause of Loss Insured Against 
under this Policy.
Crop and Acreage Insured
    You must purchase coverage for all eligible acreage in the county 
of the Crop(s) insured. The insurance provided by this Policy shall not 
attach or be effective and no indemnity shall be payable if all the 
eligible acreage of the Crop(s) in the county is not insured under this 
Policy.
Premium
    The premium for this Policy shall be calculated in accordance with 
Our rates, rules and underwriting guidelines with the applicable rate 
being the rate in effect for Us for the current growing season as a 
percentage of the MPCI Policy rate. In no event shall the premium be 
less than $100.00 which is the minimum premium payable by You.
    The premium is earned at the time Your application is accepted by 
Us.
    Total actual premium due will be calculated based upon the acreage 
report submitted by You to Us. We will invoice you for the total actual 
premium and the total actual premium owing under this policy shall be 
payable within 15 days after the due date for Your MPCI policy (October 
1 for spring seeded crops; July 1 for fall seeded crops).
    Any amount owed to Us under this Policy may be deducted from any 
payments to You under the provisions of this Policy.
Insurance Period
    Coverage under this Policy shall become effective on the happening 
of all of the following:
    A. The MPCI Policy being issued and being in full force and effect;
    B. Your application for coverage under this Policy being accepted 
by Us. Your application shall be deemed accepted by Us upon Our mailing 
You a written Notice of Acceptance; and
    Coverage under this Policy shall terminate as to each Farm Unit of 
an insured Crop on the earlier of:
    A. Termination or cancellation of coverage under the MPCI Policy in 
which event coverage under this Policy shall terminate immediately and 
automatically;
    B. The date on which the insurance period ends and coverage expires 
on such Farm Unit under your MPCI policy as set forth in the special 
provisions of Your MPCI Policy.
    The ``Insurance Period'' shall be the period during which the 
insurance coverage under this Policy is in effect.
    Although your MPCI policy is a continuous policy. This policy is 
not a continuous policy. This policy does not provide continuous 
coverage. The coverages provided for each crop must be renewed each 
crop year. You must renew the coverage for each crop insured hereunder 
no later than the date set forth in the endorsement for each such crop.

Article IV--Duties After Loss

Your Duties
    A. In the event of an occurrence causing a loss to the Crop(s) for 
which You make a claim for a MPCI Policy Indemnity Payment, You must:
    1. Give Us written notice of such loss within fifteen (15) days 
after such loss;
    2. Upon Our request, submit to an examination under oath; and
    3. Within thirty (30) days after the loss, unless We extend such 
time in writing, submit to Us a written statement in proof of loss 
signed by You declaring the loss and Your share in the Crop(s).
    B. It shall be a condition precedent to the payment of any 
indemnity that You make available to Us or authorize Us, in writing, to 
obtain any and all records, documents, and information requested by Us 
to permit Us to verify and substantiate the loss to the Crop(s) as well 
as any proof of loss submitted by You under the MPCI Policy and the 
handling, adjustment, and payment to You of any loss under the MPCI 
Policy.
    C. We may reject any claim for indemnity submitted and no indemnity 
payment will be made if any of the requirements of this section are not 
met.
Our Duties
    A. We will adjust all losses that are timely reported to Us in 
writing;
    B. We will adjust any loss in regard to any Crop when You receive a 
MPCI Policy Indemnity Payment in regard to a loss to that Crop under 
the MPCI Policy, and the amount of the indemnity, if any, under this 
Policy can be determined.
    C. We will pay Your loss within thirty (30) days after:
    1. We reach agreement with You;
    2. The entry of a final court judgment; or
    3. The filing of any appraisal award with Us.

Article V--Claim for Indemnity

Claim
    In regard to any claim for indemnity as to any Crop insured under 
this Policy, You shall establish:
    A. That You sustained a Crop production loss to such Crop caused by 
an insured peril under the MPCI Policy;
    B. That You received a MPCI Policy Indemnity Payment in regard to 
the production loss to such Crop; and
    C. The amount of the MPCI Policy Indemnity Payment You received. No 
indemnity shall be payable under this Policy as to a Crop unless and 
until You receive a MPCI Policy Indemnity Payment, as a result of a 
loss to that Crop under the MPCI Policy.
Indemnity Payment
    A. The indemnity payable to You, if any, under this Policy shall be 
determined separately for each Crop, as specifically provided in the 
endorsements to this Policy.
    B. All loss adjustments are subject to inspection, revision and/or 
recalculation by Us and shall be finally accepted by Us only after the 
content of the relevant adjustment forms have been found complete and 
correct by Us. We will be entitled to correct any erroneously paid 
claims and recover any amount paid to You in excess of the correct 
indemnity payable hereunder.
    C. Notwithstanding any other provision in this policy to the 
contrary, the maximum indemnity to be paid hereunder as to any one crop 
is limited to and shall not in any event exceed 100% of the total 
maximum coverage as stated in the summary of coverage.

Article VI--Appraisal

    If You and We fail to agree on the total indemnity payable to You 
for any Crop, either one can ask that the Indemnity be set by 
appraisal. The appraisal process is as follows:
    A. To start appraisal either You or We must make the request in 
writing to the other.
    B. You and We must choose an independent appraiser and give the 
name and address of that appraiser to the other. This must be done 
within ten (10) days after the request for appraisal is received.
    C. The two appraisers must select an impartial umpire. If they do 
not agree on an umpire within five (5) days, either You or We may have 
an umpire appointed by a Court located in the same state as the Crop.
    D. The appraisers will then determine the total indemnity payable 
and give Us a written report of their agreement. You will also get a 
copy of the report. The Indemnity they agree on will constitute the 
appraisal award which will be the total indemnity payable to You.
    E. If the appraisers fail to agree within a reasonable time, they 
will give the umpire a statement of their differences. Then the umpire 
will join in the procedure. A written agreement signed by any two of 
the three will constitute the appraisal award which will be the total 
indemnity payable to You.
    You will pay Your appraiser and We will pay Ours. The unpire's fee 
and any other appraisal expenses will be shared equally by You and Us.

Article VII--Subrogation

    Because You may be able to recover all or part of Your loss from 
someone other than Us, You must do all You can to preserve any such 
rights. If We pay for a loss, then any right to recovery will belong to 
Us. If We recover more than We paid, plus Our expenses, the excess will 
be paid to You.

Article VII--Prorata Liability

    We will not be liable for a greater proportion of any loss than the 
amount hereby insured shall bear to the whole insurance covering the 
Crop insured against the peril involved, whether collectible or not.

Article IX--Assignment

    Assignment of any interest under this policy shall not bind Us 
until our consent is endorsed hereon.

Article X--Waiver or Change of Policy Provisions

    A waiver or change of any provision must be in writing and approved 
by Us. Our request for an appraisal or examination will not waive any 
of Our rights.

Article XI--Concealment or Fraud

    We do not provide coverage for any insured who has intentionally 
concealed or mispresented any material fact or circumstances relating 
to this insurance, either before or after a loss.

Article XII--Conformity to Statutes

    If any terms of this Policy are in conflict with statutes of the 
state in which this Policy is issued, the Policy will conform to such 
statutes.

Article XIII--Suit Against Us

    You cannot bring suit or action against Us unless You have complied 
with all of the Policy provisions. If You do enter suit against Us, You 
must do so within twelve (12) months of the occurrence causing loss or 
damage. (State law exceptions to the twelve (12) months limitation, if 
any, are contained in Mandatory Endorsement.)
    Throughout this Policy ``You'' and ``Your'' refer to the ``Named 
Insured'' shown in the Application of Summary of Coverage, and ``We'', 
``Us'' and ``Our'' refer to the Company providing this insurance.
    A. ``Insured'' means You.
    B. ``Summary of Coverage'' means the Summary provided by Us to You 
which summarizes Your coverage under this Policy based on information 
provided by You to Us.
    C. ``MPCI Policy'' means the Multiple Peril Crop Insurance policy 
specifically designated by policy number and issuing company as the 
MPCI Policy in the Summary of Coverage.
    D. ``Crop(s)'' means the Crop(s) insured under Your MPCI Policy 
which you have elected, by specific endorsement, to have insured under 
this policy as shown in the Summary of Coverage.
    E. ``MPCI Policy Indemnity Payment'' means the indemnity payment 
made to You under the MPCI Policy as the result of a Crop production 
loss resulting from peril(s) insured against under the MPCI Policy 
which has been properly issued and is in full force and effect at the 
time of such production loss, all as determined by Us. MPCI Policy 
Indemnity Payment does not include any payment, made under the MPCI 
Policy, for replanting the Crop(s).
    If a dispute arises between You and the Company issuing the MPCI 
Policy as to the payment of any indemnity to be made to You under the 
MPCI Policy and You receive a payment under the MPCI Policy as the 
result of an appraisal award, the entry of a final court judgment, or a 
settlement agreement between You and the Company issuing the MPCI 
Policy, the payment received by You will be deemed to be an MPCI Policy 
Indemnity Payment to the extent that it is directly related to the 
contract indemnity to be paid to You under the terms of the MPCI 
Policy. Any award or payment in the nature of punitive damages, 
incidental or consequential damages, interest, court costs, or 
attorney's fees shall not be characterized as or included in the 
determination of the MPCI Policy Indemnity Payment.
    F. ``MPCI Policy Crop Price Election'' means the price election 
chosen by You for the Crop(s) under the terms of the MPCI Policy.
    G. ``Notice of Acceptance'' means written notice by Us to You that 
the insurance coverage applied for has been accepted by Us and is in 
effect.
    H. ``Farm Unit'' shall have the same meaning as that term is 
defined in the MPCI Policy.

MVP Mandatory State Endorsements

Arkansas Mandatory Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance laws of the State of Arkansas, the 
following provisions are added to the Policy. In the event that similar 
provisions are already contained in the Policy, which are inconsistent 
with the provisions of this endorsement, the provisions of this 
endorsement shall take precedence over such similar provisions.
    How this endorsement affects your coverage.

    Article XIII--SUIT AGAINST US is deleted in its entirety and the 
following new Article XIII--SUIT AGAINST US is substituted in lieu 
thereof:
Article XIII--SUIT AGAINST US
    You cannot bring suit against Us unless You have complied with all 
of the Policy provisions. If You do enter suit against Us, You must do 
so within ten (10) years of the occurrence causing loss or damage.
    Article VI--APPRAISAL is amended by adding a paragraph ``F'' 
immediately following paragraph ``E'' of Article VI, as follows:
    F. This appraisal process is voluntary and any appraisal award will 
not be binding on either You or Us.
    All other terms and conditions of the Policy and all other 
endorsements to the Policy remain unchanged.
Kansas Mandatory Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance laws of the State of Kansas, the 
following provisions are added to the Policy. In the event that similar 
provisions are already contained in the Policy, which are inconsistent 
with the provisions of this endorsement, the provisions of this 
endorsement shall take precedence over such similar provisions.
    How this endorsement affects your coverage:
    Article XIII--SUIT AGAINST US is deleted in its entirety and the 
following new Article XIII--SUIT AGAINST US is substituted in lieu 
thereof:
Article XIII--SUIT AGAINST US
    You cannot bring suit or action against Us unless You have complied 
with all of the Policy provisions. If You do enter suit against Us, You 
must do so within sixty (60) months of the occurrence causing loss or 
damage.
    Article III--TERMS AND CONDITIONS is amended by adding the 
following new unnumbered paragraph at the end thereof:
    If coverage under this Policy is terminated due to termination or 
cancellation of coverage under the MPCI Policy, and prior to such 
termination You sustained a loss under the MPCI Policy, We will adjust 
the loss under this Policy when You receive Your MPCI Policy Indemnity 
Payment and the amount of the indemnity under this Policy can be 
determined.
    Article III--TERMS AND CONDITIONS, Premium section, is amended by 
deleting the last sentence from the second paragraph which states as 
follows:
    ``In no event shall the premium be less than $100.00 which is the 
minimum premium payable by You.''
    All other terms and conditions of the Policy and all other 
endorsements to the Policy remain unchanged.
Michigan Mandatory Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance laws of the State of Michigan, the 
following provisions are added to the Policy. In the event that similar 
provisions are already contained in the Policy, which are inconsistent 
with the provisions of this endorsement, the provisions of this 
endorsement shall take precedence over such similar provisions.
Cancellation and Premium Refund
    You may cancel this Policy at any time by giving Us written notice 
and returning the policy to Us.
    If You cancel, We will refund the premium You have paid for the 
current season, if any, according to the following tables:
    For Spring Seeded Crops: 

------------------------------------------------------------------------
                                                                 Percent
                                                                 of paid
            For policies canceled during period of               premium
                                                                  to be 
                                                                returned
------------------------------------------------------------------------
January, February, March, April...............................        75
May 1 through May 14..........................................        50
May 15 through May 31.........................................        25
After May 31..................................................         0
------------------------------------------------------------------------

    For Fall Seeded Crops: 

------------------------------------------------------------------------
                                                                 Percent
                                                                 of paid
            For policies canceled during period of               premium
                                                                  to be 
                                                                returned
------------------------------------------------------------------------
July, August, September.......................................        75
October 1 through October 14..................................        50
October 15 through October 31.................................        25
After November 1..............................................         0
------------------------------------------------------------------------

    All other terms and conditions of the Policy and any endorsements 
to the Policy remain unchanged.
Minnesota Mandatory Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance laws of the State of Minnesota, 
the following provisions are added to the Policy. In the event that 
similar provisions are already contained in the Policy or in any other 
endorsements to the Policy, which are inconsistent with the provisions 
of this endorsement, the provisions of this endorsement shall take 
precedence over such similar provisions.
    How this endorsement affects your coverage:
    Paragraph ``C'' of the ``Our Duties'' section of Article IV--
``Duties After Loss'' is deleted in its entirety and the following new 
paragraph ``C'' is substituted in lieu thereof:
    C. We will pay Your loss within five (5) days after:
    1. We reach agreement with You; or
    2. The entry of a final court judgement; or
    3. The filing of an appraisal award with Us; and
    4. The company has completed the audit process on the loss.
    Under Paragraph ``A'' of the Indemnity Payment'' section of Article 
V of the Policy and all specific Crop Loss Endorsements to the Policy, 
the following shall apply:
    A. In calculating the indemnity payable to You, if any, for any 
loss to any Wheat Crop the ``Average Daily Settlement Price'' shall 
mean the average derived by totalling the Minneapolis Grain Exchange 
commodity futures daily final closing settlement price for wheat for 
each full active trading day during the month and dividing this sum by 
the number of full active trading days during the month. For purposes 
of determining the Average Daily Settlement Price, there must be 
fifteen (15) or more full active trading days during the applicable 
month. If there are fourteen (14) or less full active trading days 
during the applicable month, such immediately preceding consecutive 
full active trading days from the previous month(s) as are necessary 
will be added to the applicable months' trading days until fifteen (15) 
full active trading days are available to determine the Average Daily 
Settlement Price.
    A full active trading day is any trading day on the Minneapolis 
Grain Exchange commodity futures market during which more than fifty 
(50) wheat futures contracts are traded.
    In the event that trading on the Minneapolis Grain Exchange 
commodity futures market for wheat is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price there 
are fourteen (14) or less full active trading days during the 
applicable month, such immediately preceding consecutive full active 
trading days from the previous month(s) as are necessary will be added 
to the applicable months' trading days until fifteen (15) full active 
trading days are available to determine the Average Daily Settlement 
Price.
    B. In calculating the indemnity payable to You, if any, for any 
loss to any Crop other than Wheat, the ``Average Daily Settlement 
Price'' for such Crop shall mean the average derived by totalling the 
Chicago Board of Trade commodity futures daily final closing settlement 
price for such Crop for each full active trading day during the month 
and dividing this sum by the number of full active trading days during 
the month. For purposes of determining the Average Daily Settlement 
Price for any such Crop, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month for such 
Crop, such immediately preceding consecutive full active trading days 
from the previous month(s) as are necessary will be added to the 
applicable months' trading days until fifteen (15) full active trading 
days are available to determine the Average Daily Settlement Price for 
such Crop. A full active trading day is any trading day on the Chicago 
Board of Trade commodity futures market during which more than fifty 
(50) futures contracts are traded for such Crop.
    In the event that trading on the Chicago Board of Trade commodity 
futures market for any such Crop is suspended or terminated so that for 
purposes of determining the Average Daily Settlement Price there are 
fourteen (14) or less full active trading days during the applicable 
month, such immediately preceding consecutive full active trading days 
from the previous month(s) as are necessary will be added to the 
applicable months' trading days until fifteen (15) full active trading 
days are available to determine the Average Daily Settlement Price for 
such Crop.
    Article VII--SUBROGATION is amended by adding the following new 
paragraph at the end thereof:
    We may not proceed against You in a subrogation action where the 
loss was caused by Your nonintentional acts. Additionally, We may not 
subrogate to Your rights to proceed against another person if that 
person is insured by Us for the same loss, if the loss was caused by 
the nonintentional acts of the person against whom subrogation is 
sought. This provision shall not prevent Us from allocating losses 
internally to the at-fault insured for purposes of underwriting, 
agency, and claims information.
    Article XIII--SUIT AGAINST US is deleted in its entirety and the 
following new Article XIII--SUIT AGAINST US is substituted in lieu 
thereof:
Article XIII--Suit Against US
    You cannot bring suit against Us unless You have complied with all 
of the Policy provisions. If You do enter suit against Us, You must do 
so within twenty-four (24) months of the occurrence causing loss or 
damage.
    All other terms and conditions of the Policy and all other 
endorsements to the Policy remain unchanged.
Missouri Mandatory Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance laws of the State of Missouri, the 
following provisions are added to the Policy. In the event that similar 
provisions are already contained in the Policy, which are inconsistent 
with the provisions of this endorsement, the provisions of this 
endorsement shall take precedence over such similar provisions.
    How this endorsement affects your coverage:
    Article XIII--SUIT AGAINST US is deleted in its entirety and the 
following new Article XIII--SUIT AGAINST US is substituted in lieu 
thereof:
Article XIII--SUIT AGAINST US
    You cannot bring suit against Us unless You have complied with all 
of the Policy provisions. If You do enter suit against Us, You must do 
so within ten (10) years of the occurrence causing loss or damage.
    All other terms and conditions of the Policy and any endorsements 
to the Policy remain unchanged.
Montana Mandatory Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance laws of the State of Montana, the 
following provisions are added to the Policy. In the event that similar 
provisions are already contained in the Policy or any other endorsement 
to the Policy, which are inconsistent with the provisions of this 
endorsement, the provisions of this endorsement shall take precedence 
over such similar provisions.
    How this endorsement affects your coverage:
    Under Paragraph ``A'' of the ``Indemnity Payment'' section of the 
Policy, and for all specific Crop Endorsements to the Policy, in 
calculating the indemnity payable to You for any loss to any Crop, the 
following shall apply:
    A. The ``Average Daily Settlement Price'' for each Crop shall mean 
the average derived by totaling the Chicago Board of Trade commodity 
futures daily final closing settlement price for such Crop for each 
full active trading day during the month and dividing this sum by the 
number of full active trading days during the month. For purposes of 
determining the average Daily Settlement Price, there must be fifteen 
(15) or more full active trading days during the applicable month. If 
there are fourteen (14) or less full active trading days during the 
applicable month, such immediately preceding consecutive full active 
trading days from the previous month(s) as are necessary will be added 
to the applicable months' trading days until 15 full active trading 
days are available to determine the Average Daily Settlement Price. A 
full active trading day for determining the Average Settlement Price 
for any Crop is any trading day on the Chicago Board of Trade commodity 
futures market during which more than 50 wheat futures contracts are 
traded.
    In the event that trading on the Chicago Board of Trade futures 
market for any such Crop is suspended or terminated so that for 
purposes of determining the Average Daily Settlement Price there are 
fourteen (14) or less full active trading days during the applicable 
month, such immediately preceding consecutive full active trading days 
from the previous month(s) as are necessary will be added to the 
applicable months' trading days until 15 full active trading days are 
available to determine the Average Daily Settlement Price.
    B. To the extent that the provisions already contained in the 
Policy or in any of the specific Crop Endorsements are inconsistent 
with the provisions of Paragraph ``A'' above, the provisions of 
Paragraph ``A'' above shall supersede and take precedence over such 
inconsistent provisions.
    All other terms and conditions of the Policy and all other 
endorsements to the Policy remain unchanged.
Nebraska Mandatory Endorsement
Name Insured:
Policy Period:
Insured By (Insurance Company:)
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with insurance laws of the State of Nebraska, the 
following provisions are added to the Policy. In the event that similar 
provisions are already contained in the Policy, which are inconsistent 
with the provisions of this endorsement, the provisions of this 
endorsement shall take precedence over such similar provisions.
    How this endorsement affects your coverage:
    Article VI--APPRAISAL is amended by deleting paragraphs ``A'' and 
``B'' thereof in their entirety and substituting in lieu thereof the 
following:
    A. To start appraisal either You or We must make the request in 
writing to the other. The party to whom the request is made must agree 
in writing to the appraisal process.
    B. Within ten (10) days after the party to whom the request is made 
agrees to the appraisal process, You and We must choose an independent 
appraiser and give the name and address of that appraiser to the other.
    Article XI--CONCEALMENT OR FRAUD is deleted in its entirety and the 
following new Article XI--CONCEALMENT OR FRAUD is substituted in lieu 
thereof:
Article XI-Concealment or Fraud
    Any misrepresentation or warranty made by You or on Your behalf in 
the negotiation or application of this Policy or contract of insurance 
shall defeat or void the Policy or contract or affect Our obligation 
under the Policy or contract if such misrepresentation or warranty:
    (1) Was material;
    (2) Was made knowingly with the intent to deceive;
    (3) Was relied and acted upon by Us; and
    (4) Deceived Us to Our injury.
    The breach of a warranty or condition in any contract or policy of 
insurance shall not void the Policy or allow Us to avoid liability 
unless such breach exists at the time of the loss and contributes to 
the loss.
    All other terms and conditions of the Policy and any other 
endorsements to the policy remain unchanged.
North Carolina Mandatory Endorsement
Name Insured:
Policy Period:
Insured by (Insured Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance laws of the State of North 
Carolina, the following provisions are added to the Policy. In the 
event that similar provisions are already contained in the Policy, 
which are inconsistent with the provisions of this endorsement, the 
provisions of this endorsement shall take precedence over such similar 
provisions.
    How this endorsement affects you coverage:
    Article XII--SUIT AGAINST US is deleted in its entirety and the 
following new Article XII--SUIT AGAINST US IS substituted in lieu 
thereof:
Article XII-SUIT AGAINST US
    You cannot bring suit against Us unless You have complied with all 
the Policy provisions. If You do enter suit against Us, You must do so 
within ten (10) years of the occurrence causing loss or damage.
    All other terms and conditions of the Policy and any endorsements 
of the Policy remain unchanged.
Washington Mandatory Endorsement
Name Insured:
Policy Period:
Insured By (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance of laws of the State of 
Washington, the following provisions are added to the Policy. In the 
event that similar provisions are already contained in the Policy, 
which are inconsistent with the provisions of this endorsement, the 
provisions of this endorsement shall take precedence over such similar 
provisions.
    How this endorsement affects your coverage:
    Article III--TERMS AND CONDITIONS, Insured Period section, second 
paragraph ``A'' is amended to read as follows:
    A. Termination or cancellation of coverage under the MPCI Policy in 
which event coverage under this Policy shall terminate as dictated by 
the following rules: In the event that:
    (a) You fail to pay the premium, We may cancel this Policy with ten 
(10) days written notice of cancellation to the insured and also to any 
person shown by the policy to have an interest in any loss which may 
occur thereunder.
    (b) You have perpetrated a fraud or material misrepresentation upon 
Us, We may cancel this Policy with twenty (20) days written notice of 
cancellation.
    Article X--WAIVER OR CHANGE OF POLICY PROVISIONS is deleted in its 
entirety and the following new Article X--WAIVER OR CHANGE OF POLICY 
PROVISIONS is substituted in lieu thereof:
Article X--Waiver or Change of Policy Provisions
    A waiver or change of any provision must be in writing and approved 
by Us. Our request for an appraisal or examination will not result in a 
waiver of any of Our rights or any of Your rights.
    All other terms and conditions of the Policy and any other 
endorsements to the Policy remain unchanged.
Wisconsin Mandatory Endorsement
Name Insured:
Policy Period:
Insured By (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance laws of the State of Wisconsin, 
the following provisions are added to the Policy. In the event that 
similar provisions are already contained in the Policy, which are 
inconsistent with the provisions of this endorsement, the provisions of 
this endorsement shall take precedence over such similar provisions.

Notice of Loss

    You must provide to Us written notice of loss within fifteen (15) 
days and proof of loss within thirty (30) days, or as soon as is 
reasonably possible, after such loss. Failure by You to give us such 
notice does not invalidate or reduce Your claim unless We are 
prejudiced by Your failure to give Us such notice.

Subrogation

    We shall be entitled to seek subrogation as to any recovery made by 
You from a third party only to the extent that the total amount 
recovered by You from such third party together with any indemnity paid 
to You by Us hereunder exceeds all damages sustained by You.

Knowledge of Agent

    Knowledgeable by Our agent of any fact which breaches a condition 
of this Policy shall be knowledge by Us if such fact is known to the 
agent at the time this Policy is issued or an application made or 
thereafter becomes known to the agent in the course of his dealings as 
an agent with you. Any fact which breaches a condition of this Policy 
and is known to the agency shall not void this Policy or defeat a 
recovery thereon in the event of loss.

Misrepresentation and Breach of Warranty

    No misrepresentation or breach of affirmative warranty made by You 
or on Your behalf in the negotiation of this Policy affects Our 
obligation under this Policy unless We rely on it and it is either 
material or made with intent to deceive, or unless the facts 
misrepresented or falsely warranted contribute to the loss. No failure 
of a condition prior to the loss and no breach of a promissory warrant 
affects Our obligation under this Policy unless it exists at the time 
of the loss and either increases the risk at the time of loss or 
contributes to the loss. The provisions of this condition do not apply 
to failure to tender payment of premium.
    All other terms and conditions of the Policy and any other 
endorsements to the Policy remain unchanged.
Wyoming Mandatory Endorsement
Name Insured:
Policy Period:
Insured By (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    In compliance with the insurance of laws of the State of Wyoming, 
the following provisions are added to the Policy. In the event that 
similar provisions are already contained in the Policy, which are 
inconsistent with the provisions of this endorsement, the provisions of 
this endorsement shall take precedence over such similar provisions.
    How this endorsement affects your coverage:
    Article IV--DUTIES AFTER LOSS, Our Duties section, Paragraph ``C'', 
is deleted in its entirety and the following new Paragraph ``C'' is 
substituted in lieu thereof:
    C. We will pay Your loss within forty-five (45) days after You 
receive an MPCI Policy Indemnity Payment in regard to a loss under the 
MPCI Policy and the amount of the indemnity under this Policy can be 
determined.
    Article XIII--SUIT AGAINST US is deleted in its entirety and the 
following new Article XIII--SUIT AGAINST US is substituted in lieu 
thereof:
Article XIII--Suit Against Us
    You cannot bring suit against Us unless You have complied with all 
of the policy provisions. If You do enter suit against Us, You must do 
so within four (4) years from the date of discovery of the loss.
    All other terms and conditions of the Policy and all other 
endorsements to the Policy remain unchanged.

MVP Crop Endorsements

Corn Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the Chicago Board of Trade futures settlement prices for Corn, as 
specifically set forth in this endorsement and the Policy, and provided 
that You sustain a Corn production loss, during the Insurance Period, 
caused by an insured peril(s) under the MPCI Policy and an MPCI Policy 
Indemnity Payment is made to You.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
corn Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Corn Crop:
    1. Ninety-five percent (95%) of the November Average Daily 
Settlement Price for corn to be delivered during the month of December, 
of the then current crop year, shall be established (hereinafter the 
``Corn Futures Price'');
    2. The ``Corn Base Price'' shall be established as the highest MPCI 
Policy Crop Price Election for corn available under the MPCI Policy for 
the then current crop year.
    3. The Corn Base Price shall be subtracted from the Corn Futures 
Price to determine the ``Corn Price Change''.
    4. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($0.75, $1.00, or $1.50 per bushel) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Bushel'' shall be the lesser of: a. The Corn 
Price Change; and b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for corn to determine the ``Corn Production 
Loss'' in bushels;
    7. The Indemnity Per Bushel shall be multiplied by the Corn 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the Chicago Board of Trade commodity futures daily final 
closing settlement price for corn for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month as to corn, 
no indemnity shall be payable as to Your Corn Crop. A full active 
trading day is any trading day on the Chicago Board of Trade commodity 
futures market during which more than 50 corn futures contracts are 
traded.
    C. In the event that trading on the Chicago Board of Trade 
commodity futures market for corn is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price for corn 
there are fourteen (14) or less active trading days during the 
applicable month, no indemnity shall be payable under this Policy as to 
Your Corn Crop, and that portion of the Premium paid by You which is 
applicable to Your Corn Crop shall be refunded by Us.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    THE COVERAGE PROVIDED BY THE POLICY AND THIS ENDORSEMENT FOR YOUR 
CORN CROP IS NOT CONTINUOUS. YOU MUST RENEW THE COVERAGE PROVIDED BY 
THE POLICY AND THIS ENDORSEMENT ON YOUR CORN CROP NO LATER THAN APRIL 
15 OF EACH YEAR FOR COVERAGE TO BE EFFECTIVE FOR THE SUCCEEDING YEAR.
COTTON ENDORSEMENT
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the New York Cotton Exchange commodity futures settlement prices for 
Cotton as specifically set forth in this endorsement and the Policy, 
and provided that You sustain a Cotton production loss, during the 
Insurance Period, caused by an insured peril(s) under the MPCI Policy 
and an MPCI Policy Indemnity Payment is made to You.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
Cotton Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Cotton Crop:
    1. Ninety-five percent (95%) of the November Average Daily 
Settlement Price for Cotton to be delivered during the month of 
December, of the then current crop year, shall be established 
(hereinafter the ``Cotton Futures Price'');
    2. The ``Cotton Base Price'' shall be established as the highest 
MPCI Policy price election for Cotton available under the MPCI Policy, 
for the then current crop year, for the Farm Unit on which the Cotton 
Crop suffering the loss is located.
    3. The Cotton Base Price shall be subtracted from the Cotton 
Futures Price to determine the ``Cotton Price Change''.
    4. The ``Maximum Price Change'' per pound shall be that amount 
selected by You ($0.30, $0.50, or $0.70 per pound) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Pound'' shall be the lesser of:
    a. The Cotton Price Change; and
    b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for Cotton to determine the ``Cotton 
Production Loss'' in pounds;
    7. The Indemnity Per Pound shall be multiplied by the Cotton 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the New York Cotton Exchange commodity futures daily final 
closing settlement price for Cotton for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month as to Cotton, 
no indemnity shall be payable as to Your Cotton Crop.
    C. In the event that trading on the New York Cotton Exchange 
commodity futures market for Cotton is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price for 
Cotton there are fourteen (14) or less full active trading days during 
the applicable month, no indemnity shall be payable under this Policy 
as to Your Cotton Crop, and that portion of the Premium paid by You 
which is applicable to Your Cotton Crop shall be refunded by Us.
    Article XIV--Definitions is amended by adding the following new 
paragraph:
    ``Cotton'' is defined as only American Upland Lint Cotton and 
specifically excludes, without limitation, Extra Long Staple Cotton 
(also known as Pima Cotton and American-Egyptican Cotton).
    The Coverage provided by the Policy and this Endorsement does not 
extend to and no Coverage exists under this Endorsement as to any 
cotton crop grown on acreage located in South Texas. Coverage under the 
policy for any cotton crop grown on acreage located in South Texas is 
provided, if at all, only under a separate endorsement to this policy 
entitled ``Cotton Endorsement (South Texas)''. ``South Texas'' is 
defined as including only the following Counties in Texas: Aransas, 
Atascosa, Bee, Bexar, Brooks, Calhoun, Cameron, Dimmit, Duval, Frio, 
Goliad, Hidalgo, Jackson, Jim Hogg, Jim Wells, Karnes, Kenedy, Kinney, 
Kleberg, La Salle, Live Oak, McMullen, Maverick, Medina, Nueces, 
Refugio, San Patricio, Starr, Uvalde, Victoria, Webb, Willacy, Wilson, 
Zapata, and Zavala.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the Policy and this Endorsement for your 
cotton crop is not continuous. You must renew the coverage provided by 
the Policy and this Endorsement on your cotton crop No Later Than April 
15 of each year for coverage to be effective for the succeeding year.
Cotton Endorsement (South Texas)
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the New York Cotton Exchange commodity futures settlement prices for 
Cotton as specifically set forth in this endorsement and the Policy, 
and provided that You sustain a production loss on Cotton grown in 
South Texas, during the Insurance Period, caused by an insured peril(s) 
under the MPCI Policy and an MPCI Policy Indemnity Payment is made to 
You.
    Under Paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
Cotton Crop grown in South Texas shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Cotton Crop grown in South Texas:
    1. Ninety-five percent (95%) of the September Average Daily 
Settlement Prince for Cotton to be delivered during the month of 
October, of the then current crop year, shall be established 
(hereinafter the ``Cotton Futures Price'');
    2. The ``Cotton Base Price'' shall be established as the highest 
MPCI Policy price election for Cotton available under the MPCI Policy, 
for the then current crop year, for the Farm Unit on which the Cotton 
Crop suffering the loss is located.
    3. The Cotton Base Price shall be subtracted from the Cotton 
Futures Price to determine the ``Cotton Price Change''.
    4. The ``Maximum Price Change'' per pound shall be that amount 
selected by You ($0.30, $0.50, or $0.70 per pound) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Pound'' shall be the lesser of:
    a. The Cotton Price Change; and
    b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for Cotton to determine the ``Cotton 
Production Loss'' in pounds;
    7. The Indemnity Per Pound shall be multiplied by the Cotton 
Production Loss to determine the total indemnity to paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the New York Cotton Exchange commodity futures daily final 
closing settlement price for Cotton for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading dates during the applicable month as to 
Cotton, no indemnity shall be payable as to Your Cotton Crop.
    C. In the event that trading on the New York Cotton Exchange 
commodity futures market for Cotton is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price for 
Cotton there are fourteen (14) or less full active trading days during 
the applicable month, no indemnity shall be payable under this Policy 
as to Your Cotton Crop, and that portion of the Premium paid by You 
which is applicable to Your Cotton Crop shall be refunded by Us.
    Article XIV--Definitions is amended by adding the following new 
paragraph:
    ``Cotton'' as defined as only American Upland Lint Cotton and 
specifically excludes, without limitation Extra Long Staple Cotton 
(also known as Pima Cotton and American-Egyptian Cotton).
    The coverage provided by the Policy and this Endorsement does not 
extend to and no coverage exists under this endorsement as to any 
cotton crop grown on any acreage other than acreage location in South 
Texas. Coverage under the policy for any cotton crop grown on acreage 
located other than in South Texas is provided, if at all, only under a 
separate endorsement to this policy entitled ``Cotton Endorsement''. 
``South Texas'' is defined as including only the following counties in 
Texas: Aransas, Atascosa, Bee, Bexar, Brooks, Calhoun, Cameron, Dimmit, 
Duval, Frio, Goliad Hidalgo, Jackson, Jim Hogg, Jim Wells, Karnes, 
Kenedy, Kinney, Kleberg, La Salle, Live Oak, McMullen, Maverick, 
Medina, Nueces, Refugio, San Patricio, Starr, Uvalde, Victoria, Webb, 
Willacy, Wilson, Zapata, and Zavala.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the policy and this endorsement for your 
cotton crop is not continuous. You must renew the coverage provided by 
this policy and this endorsement on your cotton crop no later than 
February 15 of each year for coverage to be effective for the 
succeeding year.
Extra Long Staple Cotton Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Dated of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the New York Cotton Exchange commodity futures settlement prices for 
Cotton as specifically set forth in this endorsement and the Policy, 
and provided that You sustain an ELS Cotton production loss, during the 
Insurance Period, caused by an insured peril(s) under the MPCI Policy 
and an MPCI Policy Indemnity Payment is made to You.
    Under Paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss Your ELS 
Cotton Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any ELS Cotton Crop:
    1. Ninety-five percent (95%) of the November Average Daily 
Settlement Price for Cotton to be delivered during the month of 
December, of the then current crop year, shall be established 
(hereinafter the ``Cotton Price'');
    2. The Cotton Price shall be multiplied by 160% (1.60) to determine 
the ``ELS Cotton Futures Price''.
    3. The ``ELS Cotton Base Price'' shall be established as the 
highest MPCI Policy price election for ELS Cotton available under the 
MPCI Policy, for the then current crop year, for the Farm Unit on which 
the ELS Cotton Crop suffering the loss is located.
    4. The ELS Cotton Base Price shall be subtracted from the ELS 
Cotton Futures Price to determine the ``ELS Cotton Price Change''.
    5. The ``Maximum Price Change'' per pound shall be that amount 
selected by You ($0.30, $0.50, or $0.70 per pound) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    6. The ``Indemnity Per Pound'' shall be the lesser of:
    a. The ELS Cotton Price Change; and
    b. The Maximum Price change.
    7. The MPCI Policy Indemnity Payment shall be provided by Your MPCI 
Policy Crop Price Election for ELS Cotton to determine the ``ELS Cotton 
Production Loss'' in pounds;
    8. The Indemnity Per Pound shall be multiplied by the ELS Cotton 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the New York Cotton Exchange commodity futures daily final 
closing settlement price for Cotton for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month as to Cotton, 
no indemnity shall be payable as to Your ELS Cotton Crop.
    C. In the event that trading on the New York Cotton Exchange 
commodity futures market for Cotton is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price for 
Cotton there are fourteen (14) or less full active trading days during 
the applicable month, no indemnity shall be payable under this Policy 
as to Your ELS Cotton Crop, and that portion of the Premium paid by You 
which is applicable to Your ELS Cotton Crop shall be refunded by Us.
    Article XIV--Definitions is amended by adding the following new 
paragraphs:
    A. ``ELS Cotton'' is defined as only Extra Long Staple Cotton (also 
known as Pima Cotton and American-Egyptian Cotton) and specifically 
excludes, without limitation, American Upland Lint Cotton.
    B. ``Cotton'' is defined as only American Upland Lint Cotton and 
specifically excludes, without limitation, Extra Long Staple Cotton 
(also known as Pima Cotton and American-Egyptian Cotton).
    The coverage provided by the Policy and this endorsement does not 
extend to and no coverage exists under this endorsement as to any ELS 
cotton crop grown on acreage located in South Texas. Coverage under the 
policy for any ELS cotton crop grown on acreage located in South Texas 
is provided, if at all, only under a separate endorsement to this 
policy entitled ``Extra Long Staple Cotton Endorsement (South Texas)''. 
``South Texas'' is defined as including only the following counties in 
Texas: Aranansas, Atacosa, Bee, Bexar, Brooks, Calhoun, Cameron, 
Dimmit, Duval, Frio, Goliad, Hidalgo, Jackson, Jim Hogg, Jim Wells, 
Karnes, Kenedy, Kinney, Kleberg, La Salle, Live Oak, McMullen, 
Maverick, Medina, Nueces, Refugio, San Patricio, Starr, Uvalde, 
Victoria, Webb, Willacy, Wilson, Zapata, and Zavala.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the Policy and this endorsement for your 
cotton crop is not continuous. You must renew the coverage provided by 
the Policy and this endorsement on your cotton crop no later than April 
15 of each year for coverage to be effective for the succeeding year.
Extra Long Staple Cotton Endorsement (South Texas)
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the New York Cotton Exchange commodity futures settlement prices for 
Cotton as specifically set forth in this endorsement and the Policy, 
and provided that You sustain a production loss on ELS Cotton grown in 
South Texas, during the Insurance Period, caused by an insured peril(s) 
under the MPCI Policy and an MPCI Policy Indemnity Payment is made to 
You.
    Under Paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
ELS Cotton Crop grown in South Texas shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any ELS Cotton Crop grown in South Texas:
    1. Ninety-five percent (95%) of the September Average Daily 
Settlement Price for Cotton to be delivered during the month of 
October, of the then current crop year, shall be established 
(hereinafter the ``Cotton Price'');
    2. The Cotton Price shall be multiplied by 160% (1.60) to determine 
the ``ELS Cotton Futures Price''.
    3. The ``ELS Cotton Base Price'' shall be established as the 
highest MPCI Policy price election for ELS Cotton available under the 
MPCI Policy, for the then current crop year, for the Farm Unit on which 
the ELS Cotton Crop suffering the loss is located.
    4. The ELS Cotton Base Price shall be subtracted from the ELS 
Cotton Futures Price to determine the ``ELS Cotton Price Change''.
    5. The ``Maximum Price Change'' per pound shall be that amount 
selected by You ($0.30, $0.50, or $0.70 per pound) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    6. The ``Indemnity Per Pound'' shall be the lesser of:
    a. The ELS Cotton Price Change; and
    b. The Maximum Price Change.
    7. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for ELS Cotton to determine the ``ELS Cotton 
Production Loss'' in pounds;
    8. The Indemnity Per Pound shall be multiplied by the ELS Cotton 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the New York Cotton Exchange commodity futures daily final 
closing settlement price for Cotton for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month as to Cotton, 
no indemnity shall be payable as to Your ELS Cotton Crop.
    C. In the event that trading on the New York Cotton Exchange 
commodity futures market for Cotton is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price for 
Cotton there are fourteen (14) or less full active trading days during 
the applicable month, no indemnity shall be payable under this Policy 
as to Your ELS Cotton Crop, and that portion of the Premium paid by You 
which is applicable to Your ELS Cotton Crop shall be refunded by Us.
    Article XIV--Definitions is amended by adding the following new 
paragraphs:
    A. ``ELS Cotton'' is defined as only Extra Long Staple Cotton (also 
known as Pima Cotton and American-Egyptian Cotton) and specifically 
excludes, without limitation American Upland Lint Cotton.
    B. ``Cotton'' is defined as only American Upland Lint Cotton and 
specifically excludes, without limitation Extra Long Staple Cotton 
(also known as Pima Cotton and American-Egyptian Cotton).
    The coverage provided by the policy and this endorsement does not 
extend to and no coverage exists under this endorsement as to any ELS 
cotton crop grown on any acreage other than acreage located in South 
Texas. Coverage under the policy for any ELS cotton crop grown on 
acreage located other than in South Texas is provided, if at all, only 
under a separate endorsement to this policy entitled ``extra long 
staple cotton endorsement''. ``South Texas'' is defined as including 
only the following counties in Texas: Aranansas, Atacosa, Bee, Bexar, 
Brooks, Calhoun, Cameron, Dimmit, Duval, Frio, Goliad, Hidalgo, 
Jackson, Jim Hogg, Jim Wells, Karnes, Kenedy, Kinney, Kleberg, La 
Salle, Live Oak, McMullen, Maverick, Medina, Nueces, Refugio, San 
Patricio, Starr, Uvalde, Victoria, Webb, Willacy, Wilson, Zapata, and 
Zavala.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the policy and this endorsement for your 
cotton crop is not continuous. You must renew the coverage provided by 
the policy and this endorsement on your cotton crop no later than 
February 15 of each year for coverage to be effective for the 
succeeding year.
Fall Wheat Endorsement (CBOT)
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the Chicago Board of Trade futures settlement prices for Wheat, as 
specifically set forth in this endorsement and the Policy, and provided 
that You sustain a Fall Wheat production loss, during the Insurance 
Period, caused by an insured peril(s) under the MPCI Policy and an MPCI 
Policy Indemnity Payment is made to You.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
Fall Wheat Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Fall Wheat Crop:
    1. Ninety-five percent (95%) of the June Average Daily Settlement 
Price for wheat to be delivered during the month of July, of the then 
current crop year, shall be established (hereinafter the ``Wheat 
Futures Price'');
    2. The ``Wheat Base Price'' shall be established as the highest 
MPCI Policy Crop Price Election for Wheat available under the MPCI 
Policy for the then current crop year.
    3. The Wheat Base Price shall be subtracted from the Wheat Futures 
Price to determine the ``Wheat Price Change''.
    4. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($1.00, $1.50, or $2.00 per bushel) on Your application 
for coverage and shown on the Summary of Coverage Provided by Us to 
You.
    5. The ``Indemnity Per Bushel'' shall be the lesser of:
    a. The Wheat Price Change; and
    b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for wheat to determine the ``Wheat 
Production Loss'' in bushels.
    7. The Indemnity Per Bushel shall be multiplied by the Wheat 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the Chicago Board of Trade commodity futures daily final 
closing settlement price for wheat for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month, no indemnity 
shall be payable as to Your wheat Crop. A full active trading day is 
any trading day on the Chicago Board of Trade commodity futures market 
during which more than 50 wheat futures contracts are traded.
    C. In the event that trading on the Chicago Board of Trade 
commodity futures market for wheat is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price there 
are fourteen (14) or less active trading days during the applicable 
month, no indemnity shall be payable under this Policy as to such wheat 
Crop, and that portion of the Premium paid by You which is applicable 
to such wheat Crop shall be refunded by Us.
    Article XIV--Definitions is amended by adding, after paragraph H, 
the following new paragraph I:
    I. ``Fall Wheat'' is defined as a wheat crop seeded during the fall 
months of the year, overwintered in the field and harvested the 
following season.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the Policy and this endorsement for your 
fall wheat crop is not continuous. You must renew the coverage provided 
by the policy and this endorsement on your fall wheat crop no later 
than September 30 of each year for coverage to be effective for the 
succeeding year.
Fall Wheat Endorsement (KCBOT)
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement affects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the Kansas City Board of Trade futures settlement prices for Wheat, as 
specifically set forth in this endorsement and the Policy, and provided 
that You sustain a Fall Wheat production loss, during the Insurance 
Period, caused by an insured peril(s) under the MPCI Policy and an MPCI 
Policy Indemnity Payment is made to You.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to you for loss to Your 
Fall Wheat Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Fall Wheat Crop:
    1. Ninety-five percent (95%) of the June Average Daily Settlement 
Price for wheat to be delivered during the month of July, of the then 
current crop year, shall be established (hereinafter the ``Wheat 
Futures Price'');
    2. The ``Wheat Base Price'' shall be established as the highest 
MPCI Policy Crop Price Election for Wheat available under the MPCI 
Policy for the then current crop year.
    3. The Wheat Base Price shall be subtracted from the Wheat Futures 
Price to determine the ``Wheat Price Change''.
    4. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($1.00, $1.50, or $2.00 per bushel) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Bushel'' shall be the lesser of:
    a. The Wheat Price Change; and
    b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for wheat to determine the ``Wheat 
Production Loss'' in bushels.
    7. The Indemnity Per Bushel shall be multiplied by the Wheat 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the Kansas City Board of Trade commodity futures daily final 
closing settlement price for wheat for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month, no indemnity 
shall be payable as to Your wheat Crop. A full active trading day is 
any trading day on the Kansas City Board of Trade commodity futures 
market during which more than 50 wheat futures contracts are traded.
    C. In the event that trading on the Kansas City Board of Trade 
commodity futures market for wheat is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price there 
are fourteen (14) or less active trading days during the applicable 
month, no indemnity shall be payable under this Policy as to such wheat 
Crop, and that portion of the Premium paid by You which is applicable 
to such wheat Crop shall be refunded by Us.
    Article XIV--Definitions is amended by adding, after paragraph H, 
the following new paragraph I:
    I. ``Fall Wheat'' is defined as a wheat crop seeding during the 
fall months of the year, overwintered in the field and harvested the 
following season:
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the policy and this endorsement for your 
fall wheat crop is not continuous. You must renew the coverage provided 
by the Policy and this endorsement on you fall wheat crop no later than 
September 30 of each year for coverage to be effective for the 
succeeding year.
Fall Wheat Endorsement (MGE)
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:


    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.


    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the Minneapolis Grain Exchange futures settlement prices for Wheat, as 
specifically set forth in this endorsement and the Policy, and provided 
that Your sustain a Fall Wheat production loss, during the Insurance 
Period, caused by an insured peril(s) under the MPCI Policy and an MPCI 
Policy Indemnity Payment is made to You.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
Fall Wheat Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Fall Wheat Crop:
    1. Ninety-five percent (95%) of the June Average Daily Settlement 
Price for wheat to be delivered during the month of July, of the then 
current crop year, shall be established (hereinafter the ``Wheat 
Futures Price'');
    2. The ``Wheat Base Price'' shall be established as the highest 
MPCI Policy Crop Price Election for Wheat available under the MPCI 
Policy for the then current crop year.
    3. The Wheat Base Price shall be subtracted from the Wheat Futures 
Price to determine the ``Wheat Price Change''.
    4. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($1.00, $1.50, or $2.00 per bushel) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Bushel'' shall be the lesser of:
    a. The Wheat Price Change; and
    b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for wheat to determine the ``Wheat 
Production Loss'' in bushels.
    7. The Indemnity Per Bushel shall be multiplied by the Wheat 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the Minneapolis Grain Exchange commodity futures daily final 
closing settlement price for wheat for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month, in indemnity 
shall be payable as to Your wheat Crop. A full active trading day is 
any trading day on the Minneapolis Grain Exchange commodity futures 
market during which more than 50 wheat futures contracts are traded.
    C. In the event that trading on the Minneapolis Grain Exchange 
commodity futures market for wheat is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price there 
are fourteen (14) or less active trading days during the applicable 
month, no indemnity shall be payable under this Policy as to such wheat 
Crop, and that portion of the Premium paid by You which is applicable 
to such wheat Crop shall be refunded by Us.
    Article XIV--Definitions is amended by adding, after paragraph H, 
the following new paragraph I:
    I. ``Fall Wheat'' is defined as a wheat crop seeded during the fall 
months of the year, overwintered in the field and harvested the 
following season.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the Policy and this endorsement for your 
fall wheat crop is not continuous. You must renew the coverage provided 
by the Policy and this endorsement on your fall what crop no later than 
September 30 of each year for coverage to be effective for the 
succeeding year.
Grain Sorghum (MILO) Endorsement
Name Insured:
Policy Period:
Insured By (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the Chicago Board of Trade futures settlement prices for Corn, as 
specifically set forth in this endorsement and the Policy, and provided 
that You sustain a Grain Sorghum (Milo) production loss, during the 
Insurance Period, caused by an insured peril(s) under the MPCI Policy 
and an MPCI Policy Indemnity Payment is made to You.
    Under Paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
Grain Sorghum (Milo) Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Grain Sorghum (Milo) Crop:
    1. Ninety-five percent (95%) of the November Average Daily 
Settlement Price for Corn to be delivered during the month of December, 
of the then current crop year, shall be established (hereinafter the 
``Corn Price'');
    2. The Corn Price shall be multiplied by 95% (.95) to determine the 
``Grain Sorghum Futures Price''.
    3. The ``Grain Sorghum Base Price'' shall be established as the 
highest MPCI Policy Crop Price Election for Grain Sorghum (milo) 
available under the MPCI Policy for the then current crop year.
    4. The Grain Sorghum Base Price shall be subtracted from the Grain 
Sorghum Futures Price to determine the ``Grain Sorghum Price Change''.
    5. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($0.75, $1.00, or $1.50 per bushel) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    6. The ``Indemnity Per Bushel'' shall be the lesser of:
    a. The Grain Sorghum Price Change; and
    b. The Maximum Price Change.
    7. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for Grain Sorghum (milo) to determine the 
``Grain Sorghum Production Loss'' in bushels.
    8. The Indemnity Per Bushel shall be multiplied by the Grain 
Sorghum Production Loss to determine the total indemnity to be paid to 
You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the Chicago Board of Trade Commodity futures daily final 
closing settlement price for corn for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trade days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month as to corn, 
no indemnity shall be payable as to Your Grain Sorghum (Milo) Crop. A 
full active trading day is any trading day on the Chicago Board of 
Trade commodity futures market during which more than 50 corn futures 
contracts are traded.
    C. In the event that trading on the Chicago Board of Trade 
commodity futures market for corn is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price for corn 
there are fourteen (14) or less active trading days during the 
applicable month, no indemnity shall be payable under this Policy as to 
Your Grain Sorghum (Milo) Crop, and that portion of the Premium paid by 
You which is applicable to Your Grain Sorghum (Milo) Crop shall be 
refunded by Us.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The Coverage Provided by the Policy and this endorsement for your 
grain Sorghum (MILO) crop is not continuous. You must renew the 
coverage provided by the policy and this endorsement on your grain 
sorghum (MILO) crop no later than April 15 of each year for coverage to 
be effective for the succeeding year.
Soybean Endorsement
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the Chicago Board of Trade futures settlement prices for Soybeans, as 
specifically set forth in this endorsement and the Policy, and provided 
that You sustain a Soybean production loss, during the Insurance 
Period, caused by an insured peril(s) under the MPCI Policy and an MPCI 
Policy Indemnity Payment is made to You.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
Soybean Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Soybean Crop:
    1. Ninety-five percent (95%) of the October Average Daily 
Settlement Price for soybeans to be delivered during the month of 
November, of the then current crop year, shall be established 
(hereinafter the ``Soybean Futures Price'');
    2. The ``Soybean Base Price'' shall be established as the highest 
MPCI Policy Crop Price Election for soybeans available under the MPCI 
Policy for the then current crop year.
    3. The Soybean Base Price shall be subtracted from the Soybean 
Futures Price to determine the ``Soybean Price Change''.
    4. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($1.00, $2.00, or $3.00 per bushel) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Bushel'' shall be the lesser of:
    a. The Soybean Price Change; and
    b. Maximum Price Change.
    6. The MPCI Indemnity Payment shall be divided by Your MPCI Policy 
Crop Price Election for soybeans to determine the ``Soybean Production 
Loss'' in bushels;
    7. The Indemnity Per Bushel shall be multiplied by the Soybean 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the Chicago Board of Trade commodity futures daily final 
closing settlement price for soybeans for each full active day during 
the month and dividing this sum by the number of full active trading 
days during the month. For purposes of determining the Average Daily 
Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month as to 
soybeans, no indemnity shall be payable as to Your Soybean Corp. A full 
active trading day is any trading day on the Chicago Board of Trade 
commodity futures market during which more than 50 soybean futures 
contracts are traded.
    C. In the event that trading on the Chicago Board of Trade 
commodity futures market for soybeans is suspended or terminated so 
that for purposes of determining the Average Daily Settlement Price for 
soybeans there are fourteen (14) or less active trading days during the 
applicable month, no indemnity shall be payable under this Policy as to 
Your Soybean Corp, and that portion of the Premium paid by You which is 
applicable to Your Soybean Corp shall be refunded by Us.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the policy and this endorsement for your 
soybean crop is not continuous. You must renew the coverage provided by 
the policy and this endorsement on your soybean crop no later than 
April 15 of each year for coverage to be effective for the succeeding 
year.
SPRING WHEAT ENDORSEMENT
Name Insured:
Policy Period:
Insured by (Insurance Company);
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    A. Unavoidable financial loss resulting directly from an increase 
in the Minneapolis Grain Exchange futures settlement prices for wheat, 
as specifically set forth in this endorsement and the Policy, and 
provided that You sustain a Wheat production loss, during the Insurance 
Period, caused by an insured peril(s) under the MPCI Policy and MPCI 
Policy Indemnity Payment is made to you.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to Your for loss to Your 
Wheat Crop shall be calculated as follows:
    A. As to any under the MPCI Policy, during the Insurance Period, to 
any Wheat Crop:
    1. Ninety-five percent (95%) of the August Average Daily Settlement 
Price for wheat to be delivered during the month of September, of the 
then current crop year, shall be established (hereinafter the ``Wheat 
futures Price'');
    2. The ``Wheat Base Price'' shall be established as the highest 
MPCI Policy Crop Price Election for wheat available under the MPCI 
Policy for the then current crop year.
    3. The Wheat Base Price shall be subtracted from the Wheat Futures 
Price to determine the ``Wheat Price Change''.
    4. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($1.00, $1.50, or $2.00 per bushel) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Bushel'' shall be the lesser of:
    a. The Wheat Price Change; and
    b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for wheat to determine the ``Wheat 
Production Loss'' in bushels.
    7. The Indemnity Per Bushel shall be multiplied by the Wheat 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the Minneapolis Grain Exchange commodity futures daily final 
closing settlement price for wheat for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month, no indemnity 
shall be payable as to Your Wheat Crop. A full active trading day is 
any trading day of the Minneapolis Grain Exchange commodity futures 
market during which more than 50 wheat futures contracts are traded.
    C. In the event that trading on the Minneapolis Grain Exchange 
commodity futures market for Wheat is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price there 
are fourteen (14) or less active trading days during the applicable 
month, no indemnity shall be payable under this Policy as to Your Wheat 
Crop, and that portion of the Premium paid by You which is applicable 
to Your Wheat Crop shall be refunded by Us.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the policy and this endorsement for your 
wheat crop is not continuous. You must review the coverage provided by 
the policy and this endorsement on your wheat crop no later than April 
15 of each year for coverage to be effective for the succeeding year.
Wheat Endorsement
Name Insured:
Policy Period:
Insured by (Insurance company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall include:
    Unavoidable financial loss resulting directly from an increase in 
the Chicago Board of Trade futures settlement prices for Wheat, as 
specifically set forth in this endorsement and the Policy, and provided 
that You sustain a Wheat production loss, during the Insurance Period, 
caused by an insured peril(s) under the MPCI Policy and an MPCI Policy 
Indemnity Payment is made to You.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
Wheat Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Wheat Crop:
    1. Ninety-five percent (95%) of the June Average Daily Settlement 
Price for wheat to be delivered during the month of July, of the then 
current crop year, shall be established (hereinafter the ``Wheat 
Futures Price'');
    2. The ``Wheat Base Price'' shall be established as the highest 
MPCI Policy Crop Price Election for Wheat available under the MPCI 
Policy for the then current crop year.
    3. The Wheat Base Price shall be subtracted from the Wheat Futures 
Price to determine the ``Wheat Price Change''.
    4. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($1.00, $1.50, or $2.00 per bushel) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Bushel'' shall be the lesser of:
    a. The Wheat Price Change; and
    b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for wheat to determine the ``Wheat 
Production Loss'' in bushels.
    7. The Indemnity Per Bushel shall be multiplied by the Wheat 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling the Chicago Board of Trade commodity futures daily final 
closing settlement price for Wheat for each full active trading day 
during the month and dividing this sum by the number of full active 
trading days during the month. For purposes of determining the Average 
Daily Settlement Price, there must be fifteen (15) or more full active 
trading days during the applicable month. If there are fourteen (14) or 
less full active trading days during the applicable month, no indemnity 
shall be payable as to Your Wheat Crop. A full active trading day is 
any trading day on the Chicago Board of Trade commodity futures market 
during which more than 50 Wheat futures contracts are traded.
    C. In the event that trading on the Chicago Board of Trade 
commodity futures market for Wheat is suspended or terminated so that 
for purposes of determining the Average Daily Settlement Price there 
are fourteen (14) or less active trading days during the applicable 
month, no indemnity shall be payable under this Policy as to such Wheat 
Crop, and that portion of the Premium paid by You which is applicable 
to such Wheat Crop shall be refunded by Us.
    Article XIV--Definitions is amended by adding, after paragraph H, 
the following new paragraph I:
    I. ``Wheat'' is defined to include both a Wheat crop seeded during 
the fall months of the year, over wintered in the field and harvested 
the following season, as well as Wheat planted in the spring months of 
the year and harvested that same year.
    Pursuant to the ``Insurance Period'' Section of Article III of the 
Policy:
    The coverage provided by the policy and this endorsement for your 
wheat crop is not continuous. You must renew the coverage provided by 
the policy and this endorsement on your fall wheat crop no later than 
September 30 of each year for coverage to be effective for the 
succeeding year.
Wheat Endorsement (Northwest)
Name Insured:
Policy Period:
Insured by (Insurance Company):
Endorsement Number:
Policy Number:
Effective Date of Endorsement:

    The above needs to be completed only when this endorsement is 
issued subsequent to preparation and issuance of the Market Value 
Protection Policy.

    How this endorsement effects your coverage:
    The Losses Insured Against under the ``Cause of Loss'' Section of 
Article III of the Policy shall included:
    Unavoidable financial loss resulting directly from an increase in 
the Portland Grain Exchange reported bid prices for soft white Wheat 
arriving at Portland, Oregon by rail, truck, or barge, as specifically 
set forth in this endorsement and the Policy, and provided that You 
sustain a Wheat production loss, during the Insurance Period, caused by 
an insured peril(s) under the MPCI Policy and an MPCI Policy Indemnity 
Payment is made to You.
    Under paragraph ``A'' of the ``Indemnity Payment'' Section of 
Article V of the Policy, the indemnity payable to You for loss to Your 
Wheat Crop shall be calculated as follows:
    A. As to any loss under the MPCI Policy, during the Insurance 
Period, to any Wheat Crop:
    1. Ninety-five percent (95% of the August Average Daily Settlement 
Price for Wheat, of the then current crop year, shall be established 
(hereinafter the ``Wheat Futures Price'');
    2. The ``Wheat Base Price'' shall be established as the highest 
MPCI Policy Crop Price Election for Wheat available under the MPCI 
Policy for the then current crop year.
    3. The Wheat Base Price shall be subtracted from the Wheat Futures 
Price to determine the ``Wheat Price Change''.
    4. The ``Maximum Price Change'' per bushel shall be that amount 
selected by You ($1.00, $1.50, or $2.00 per bushel) on Your application 
for coverage and shown on the Summary of Coverage provided by Us to 
You.
    5. The ``Indemnity Per Bushel'' shall be the lesser of:
    a. The Wheat Price Change; and
    b. The Maximum Price Change.
    6. The MPCI Policy Indemnity Payment shall be divided by Your MPCI 
Policy Crop Price Election for Wheat to determine the ``Wheat 
Production Loss'' in bushels.
    7. The Indemnity Per Bushel shall be multiplied by the Wheat 
Production Loss to determine the total indemnity to be paid to You.
    B. ``Average Daily Settlement Price'' means the average derived by 
totaling midpoint of the bids for soft white Wheat arriving at 
Portland, Oregon by rail, truck, or barge as reported by the Portland 
Grain Exchange for each price reporting day during the month and 
dividing this sum by the number of price reporting days during the 
month. For purposes of determining the Average Daily Settlement Price, 
there must be fifteen (15) or more price reporting days during the 
applicable month. A price reporting day is any normal weekday that 
price bids for soft white Wheat are reported by the Portland Grain 
Exchange.
    C. In the event that price reporting by the Portland Grain Exchange 
for soft white Wheat is suspended or terminated so that for purposes of 
determining the Average Daily Settlement Price there are fourteen (14) 
or less price reporting days from the Portland Grain Exchange, the 
Average Daily Settlement Price shall be derived by adding a Chicago-
Portland basis adjustment of thirty-five cents (35 cents) per bushel to 
the Chicago Board of Trade commodity futures daily final closing 
settlement price for Wheat for each full active trading day during the 
month, totaling these basis-adjusted daily final closing settlement 
prices for Wheat for each full active trading day during the month, and 
dividing this sum by the number of full active trading days during the 
month. For purposes of determining the Average Daily Settlement Price 
for Wheat, there must be fifteen (15) or more full active trading days 
during the applicable month. If there are fourteen (14) or less full 
active trading days during the applicable month, no indemnity shall be 
payable as to Your Wheat Crop and that portion of the Premium paid by 
You which is applicable to such Wheat Crop shall be refunded by Us. A 
full active trading day is any trading day on the Chicago Board of 
Trade commodity futures market during which more than 50 Wheat futures 
contracts are traded.
    Article XIV--DEFINITIONS is amended by adding, after paragraph H, 
the following new paragraph I:
    I. ``Wheat'' is defined to include both a wheat crop seeded during 
the fall months of the year, overwintered in the field and harvested 
the following seasons, as well as wheat planted in the spring months of 
the year and harvested that same year.
    Pursuant to the ``Insurance Period'' Section of Article II of the 
Policy:
    The coverage provided by the policy and this endorsement for your 
fall wheat crop is not continuous. You must renew the coverage provided 
by the policy and this endorsement on your fall wheat crop no later 
than October 31 of each year for coverage to be effective for the 
succeeding year.

    Done in Washington, DC on May 4, 1994.
Kenneth D. Ackerman,
Manager, Federal Crop Insurance Corporation.
[FR Doc. 94-12198 Filed 5-18-94; 8:45 am]
BILLING CODE 3410-08-M