Breached Levee

Overview

In the 2019 Reinsurance Year, extensive flooding occurred along the Missouri and Mississippi rivers and a number of levees were breached. Due to the number of levees breached and the amount of work required to repair them, most will not be repaired in time for the 2020 Reinsurance Year. RMA has confirmed that land flooded due to a breach in a levee that resulted from prior year flooding is insurable—but may be subject to a higher rate.

Statements have been added to the Special Provisions in the affected counties in Kansas, Missouri, Iowa, Illinois and Nebraska indicating that these grounds will be insurable, but may be classified as high risk. Rates will be assigned based on the condition of the levee and soils on the Sales Closing Date or Earliest Planting Date:

• Land near levees that have not been repaired to prior specifications by this date or if damaged soil has not been restored to at least the crop yield potential of the prior year, will be classified as high-risk and subject to the highest rates in the county.
• If the levee has been repaired to prior specifications and the soil restored to at least the crop yield potential of the prior year, the ground will be classified as shown on the current actuarial maps.
• Finally, if the levee has been temporarily or permanently repaired, but not to prior specifications, and the soil has at least the crop yield potential of the prior year, RMA may adjust the rate to an amount consistent with the level of floor risk via Written Agreement.

Rather than having each grower submit a Written Agreement, RMA will issue a blanket Written Agreement for the County once they have been provided a certification from the U.S. Army Corps of Engineers or a signed and sealed certification from a professional engineer. Also, in order to qualify for this blanket Written Agreement, the insured must sign a certification stating soils have been restored to at least prior year potential.

If the Contract Change Date is 11-30-2020 and the State/County is one of the following, then Breached Levee functionality will display in the System:

• Iowa (19)
• Fremont (071)
• Mills (129)
• Pottawattamie (155)
• Illinois (17)
• Alexander (003)
• Madison (119)
• Randolph (157)
• Kansas (20)
• Atchison (005)
• Doniphan (043)
• Leavenworth (103)
• Wyandote (209)
• Missouri (29)
• Atchison (005)
• Boone (019)
• Buchanan (021)
• Callaway (027)
• Carroll (033)
• Chariton (041)
• Clark (045)
• Cole (051)
• Cooper (053)
• Franklin (071)
• Gasconade (073)
• Holt (087)
• Howard (089)
• Jackson (095)
• Lewis (111)
• Lincoln (113)
• Marion (127)
• Moniteau (135)
• Osage (151)
• Pike (163)
• Platte (165)
• Ray (177)
• Saline (195)
• St Charles (183)
• St Genevieve (186)
• St Louis (189)
• Warren (219)
• Nebraska (31)
• Namaha (127)
• Otoe (131)

For this change, RMA has added a Request Type option for "BL – Breached Levee" and 3 new sub county codes of "XXX", "YYY", and "ZZZ" were added to identify land behind a Breached Levee that was repaired temporarily or permanently, but not to prior specifications, and is therefore subject to the special rates under a "BL" Written Agreement.

On the Add New Written Agreement Page

The Written Agreement Request Type of ‘"BL - Breached Levee" is available if the state on the policy is Iowa, Nebraska, Kansas, Missouri, or Illinois.

After selecting a Written Agreement type of "BL", the Requested Crop dropdown will be filtered to only coverages in the counties affected by a breached levee.

On the Add New/Edit Detail Line

When creating detail lines for the coverage, when available in the actuarials for the selected State/County, 3 Breached Levee-related Sub County Code (Map Area) are available for selection, depending on the degree of repair: XXX, YYY, and ZZZ.