Risk Management Agency
NOVEMBER 30 RENEWALS OK'ED FOR AMERICAN GROWERS
WASHINGTON, Nov 27, 2002 - Risk Management Agency (RMA) Administrator Ross J. Davidson and Tim Wagner, Director of the Nebraska Department of Insurance announced today that American Growers Insurance Company (American Growers) will renew Federal crop insurance policies that have a sales closing date of November 30.
"We are committed to taking the steps necessary to protect the interests of farmers, taxpayers and the integrity of the program," said Davidson. "We did not want to put current American Growers policyholders at risk given the short amount of time they would have to find another insurance company to provide coverage."
On November 22, 2002, following the announcement of significant financial losses, the Nebraska Department of Insurance placed American Growers Insurance Company an Order of Supervision. In part, this action prohibited American Growers from writing or renewing policies. This decision affects policies covering avocados, clams, forage, and potatoes in certain states.
RMA will ensure that American Growers will not have any obligations or expenses relating to production and settlement of any liabilities arising from policies renewed between November 22, 2002 and December 1, 2002.