National
Citrus
Nursery
Association
NCNA
USDA Controlled Environment Crop Insurance Program
The National Citrus Nursery Association is providing this information to help US citrus nursery growers understand the USDA's Controlled Environment Crop Insurance Program. This program offers insurance coverage for plant disease or contamination losses that occur in controlled environment nursery operations.
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The Controlled Environment Crop Insurance Program was developed by the USDA Risk Management Agency to ensure plants grown in fully enclosed, permanent, non-seasonal structures are protected against losses due to federal or state destruction orders related to plant diseases or contamination. The coverage is based on the value of the affected plants, which is determined by the producer's sales history.
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This program can serve as an important risk management tool for citrus nurseries operating in controlled environments and facing potential threats from plant diseases or contamination events. By understanding the details of the Controlled Environment Crop Insurance Program, US citrus nursery growers can evaluate whether this coverage option may be beneficial for their operations.
Program Overview
The USDA's Controlled Environment Crop Insurance Program provides coverage for citrus nursery operations growing plants in fully enclosed, permanent, non-seasonal structures. The key details of this program include:
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Covers Losses Due to Destruction Orders
The program ensures plants grown in controlled environments are protected against losses resulting from federal or state destruction orders related to plant diseases or contamination. If a destruction order is issued, requiring the nursery to destroy affected plants, the program will compensate the producer based on the value of those plants.
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Coverage Based on Sales History
The value of the affected plants is determined by the producer's sales history. This allows the coverage to be tailored to the specific inventory and sales patterns of each nursery operation.
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Modeled After Nursery Value Select
The Controlled Environment Crop Insurance Program is structured similarly to the USDA's existing Nursery Value Select (NVS) program. However, there are some key differences between the two, such as the Controlled Environment program's focus on disease and contamination versus the NVS program's coverage for adverse weather events.
By understanding these core elements of the Controlled Environment Crop Insurance Program, citrus nursery growers can evaluate how this coverage option may benefit their operations in managing the risks associated with plant diseases and contamination events.
Eligibility Requirements
To qualify for the USDA's Controlled Environment Crop Insurance Program, citrus nursery operations must meet the following main eligibility criteria:
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Being at Least 40% Wholesale
Nurseries must sell at least 40% of their plants to wholesale clients. This includes retailers who sell to end-users, landscape contractors, government entities, organizations, or commercial fruit and vegetable producers.
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Having a Customer Catalog
Producers must provide a catalog of the plants they offer to their customers. This catalog must be submitted to the crop insurance agent.
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Executing a Self-Certified Biosecurity Plan
Nurseries are required to have and execute a self-certified biosecurity plan. This plan demonstrates the operation's efforts to prevent the introduction and spread of plant diseases and contamination within the controlled environment facility.
Meeting these key eligibility requirements is essential for citrus nurseries to qualify for coverage under the USDA's Controlled Environment Crop Insurance Program. Producers should review these criteria carefully to determine if the program is a good fit for their operation.
Coverage and Indemnities
The USDA's Controlled Environment Crop Insurance Program triggers indemnities, or payments to the producer, when the loss exceeds a 10% threshold.
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Specifically, if a producer experiences a loss greater than 10% of their insured plants due to a destruction order, they will be eligible for an indemnity payment. This 10% threshold applies regardless of the producer's selected coverage level, which is different from many other crop insurance programs.
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It's important to note that producers can have both the Controlled Environment Crop Insurance Policy and the Nursery Value Select (NVS) policy. However, they cannot be indemnified for the same plants under both programs. The producer must choose which program they want to file a claim under for a particular loss event.
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This flexibility allows citrus nursery operators to tailor their risk management approach by combining the Controlled Environment program's disease and contamination coverage with the NVS program's protection against adverse weather events, for example. Careful consideration of the specific needs and risks facing the nursery operation will help determine the optimal combination of these USDA insurance programs.
Availability and Expansion
The USDA's Controlled Environment Crop Insurance Program is currently available as a pilot program in select states and counties across the country. As of the time of this publication, the program is offered in 120,519 counties across 25 states.
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The green-shaded counties on the map have a May 1st sales closing date, while the blue-shaded counties have a September 1st sales closing date. This staggered timing allows producers in different regions to access the program.
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Looking ahead, the USDA is actively working to expand the Controlled Environment Crop Insurance Program to additional states and counties. The agency is seeking approval to add approximately 45 more counties and 7 more states for the 2026 crop year.
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This expansion will help make the program more widely available to citrus nursery operators across the United States. Producers should check with their local USDA Regional Office or crop insurance agent to determine if the Controlled Environment Crop Insurance Program is currently offered in their area and to stay informed of any future expansions.
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As the USDA continues to refine and grow this specialized insurance option, it can provide an important risk management tool for citrus nurseries operating in controlled environments.
The USDA's Controlled Environment Crop Insurance Program interacts with another USDA offering, the Non-Insured Assistance Program (NAP).
Producers can purchase coverage under both the Controlled Environment program and the NAP. This is because the Controlled Environment program is currently operating as a pilot program. If the Controlled Environment program were to transition to a permanent or regulatory program in the future, producers would no longer be able to have overlapping coverage with NAP.
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It's important to note that if a producer experiences a loss, they are limited to receiving an indemnity payment under only one program - either the Controlled Environment Crop Insurance Program or the NAP. They cannot be compensated for the same loss under both programs.
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This interaction between the Controlled Environment program and the NAP provides citrus nursery operators with flexibility in their risk management approach. Producers should carefully evaluate their coverage needs and options to determine the optimal combination of these USDA programs to protect their operations.
By understanding how the Controlled Environment Crop Insurance Program fits within the broader suite of USDA risk management offerings, citrus nursery growers can make informed decisions to safeguard their businesses.
For more detailed information on the USDA's Controlled Environment Crop Insurance Program, please visit the USDA Risk Management Agency's website at www.rma.usda.gov.
On this website, you can find additional resources such as program fact sheets, frequently asked questions, and training materials to help you better understand the coverage options and eligibility requirements.
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If you have specific questions or need assistance in evaluating the Controlled Environment Crop Insurance Program for your citrus nursery operation, we encourage you to reach out to your local USDA Regional Office. The contact information for the USDA Regional Office serving your area is:
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[USDA Regional Office Contact Information]
Phone: [Regional Office Phone Number]
Email: [Regional Office Email Address]
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The USDA staff at the Regional Office can provide personalized guidance and help connect you with a crop insurance agent who can walk you through the application process and coverage options.
We hope this information has been helpful in understanding the USDA's Controlled Environment Crop Insurance Program and how it can potentially benefit your citrus
Enhancing U.S. Citrus Nursery Sustainability
A USDA APHIS-Funded Initiative
This initiative, funded by USDA APHIS, is dedicated to strengthening the U.S. citrus nursery industry through stakeholder collaboration, sustainable innovation, and best practices adoption. Learn how we’re supporting clean, disease-free citrus production nationwide.​
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