As we gear up for a couple of our largest sales closing dates, 2/28 and 3/15, we would like to take this opportunity to provide helpful information regarding application requirements in addition to entity information.
When completing an Application form and/or a Policy Change form, it is crucial that the following items are verified prior to submission to eliminate potential errors/issues being found at a later date:
- Named insured (coverage does not extend out to any other person having a share or interest in the crop)
- All SBIs are listed as applicable to the entity type
- The Tax Identification Number (TIN) for the grower and any SBIs, as applicable to the policy
- Entity Type
- Coverage information, including options
- All the Conditions of Acceptance questions must be answered, and additional documentation provided, if applicable
- State of Incorporation (applicable to LLCs and Corporations only)
- A Partnership Statement must be included with the application, if applicable to the entity type
- Landlord/Tenant must be clearly indicated on the application when applicable
- Valid signatures must be provided by both the insured and the agent (if applicable, a POA must be included with the application and be properly signed and dated with crop insurance authority indicated on the form)
- Valid dates must be provided
- Statement advising where authority can be found, if applicable to the entity type
To aid in processing the application, the 2024 General Standards Handbook (GSH) contains the Person Type and Documentation chart in Exhibit 4.
This is a quick way to reference the following information:
- Reporting requirements for names on the application by specific entity type
- What signatures are required/valid by specific entity type
- What, if any, additional documentation is required to be submitted with the application
- Required ID numbers by specific entity type
NOTE: While Exhibit 4 is a great reference tool, it is just a summary. Please remember that if you have additional questions specific to a certain entity type, refer to the actual language contained in the GSH, which outlines more in-depth details for each entity type. Using the handbook and Exhibit 4 is the best way to ensure that incorrect person types and entity issues don’t arise during the verification of a claim when potentially some of the errors cannot be resolved.