Crop Hail Insurance Program
The Montana State Hail Insurance Program was created in 1917 to provide basic hail insurance coverage on any crop grown in Montana. The program continues to provide a valuable service to the agricultural producers of Montana.
The Montana State Hail Insurance Program is directed by a five-member Board of Hail Insurance consisting of the Director of the Montana Department of Agriculture, the Montana State Auditor, and three other members appointed by the Governor. The program is assigned to the Montana Department of Agriculture for administrative purposes, and is self supporting through an trust and reserve established with premiums paid by participating producers.
A reserve fund is maintained to provide security for the programs financial responsibilities. The fund is required to be maintained at a level which is actuarially sound based on annual review by an accredited actuarial consultant. This assures that adequate funds are available to pay any losses, even in a catastrophic year should it occur.
The program works closely with private insurance providers in the state since many producers carry both state and private hail insurance. Participation in the State Hail Insurance Program is often considered an adjunct to private hail insurance so that producers have adequate hail loss protection.
Crop Coverage
Maximum coverage as set by state law is $50 per acre on non irrigated crops and $76 per acre on irrigated crops. Coverage begins at 12.01 am on the day following issuance of the policy. Premiums for each county are a percentage of the covered amount, determined by a formula that includes historic hail losses. Rate map for 2007.
Where to Purchase
Producers may purchase Montana State Hail Insurance from the county Department of Revenue Appraisal and Assessment office until August 15. Policies may be paid with cash, charged on a crop lien or to the producers real estate taxes to be paid on the first half of the real estate taxes. Cash policies receive a 4 percent premium discount.
Crop Loss Adjustment & Payment
The program has adjusters available to inspect and adjust hail loss claims. It is the participating producers responsibility to inform the Hail Insurance Program of any loss experience within two weeks of the loss occurrence. October 1 is the last date the Hail Insurance Program can accept claims. When insured with the State and another insurance company, always send a loss claim to each company to ensure your claim is processed.
Producers who question or are dissatisfied with a loss adjustment may request a review by the Board of Hail Insurance. The Hail Insurance Program has forty days from receipt of a loss claim in which to make payment to a producer, however, if the policy premium is to be paid with either a crop lien or a real estate tax, those premiums are first deducted prior to any loss payment.
Important Deadlines
- Coverage begins at 12:01 am on the day following the date the policy is issued.
- Last date to purchase State policies is August 15.
- Report losses to State Hail Insurance Program (406) 444-2402 within 2 weeks of hail damage occurrence.
- Submit claims to State Hail Insurance Program no later than October 1.
The Montana State Hail Insurance Program has a long history of providing a valuable and important service to the producers of Montana. Program staff are dedicated to providing timely, quality service to the producers who are the ultimate owners of this program.
Additional information can be obtained from:
- County Department of Revenue Appraisal and Assessment Offices
- Montana State Hail Insurance Program
Montana Department of Agriculture
P.O. Box 200201
Helena, MT 59620-0202
Phone: (406) 444-2402
Fax: (406) 444-5409
agr@mt.gov
