Farm Progress

LIP payment for eligible livestock owners is based on 75% of fair market value.

January 19, 2018

2 Min Read
REPORT LOSSES: Livestock that die within 60 days of the date of the weather event may be considered eligible for loss benefits if the animal died because of the event. A notice of loss must be filed with FSA within 30 days.monkeybusinessimages/istock/thinkstock

Producers who suffered qualifying livestock losses due to natural disasters, including winter storms, extreme cold weather and blizzards, could be eligible for the Livestock Indemnity Program, according to a Jan. 9 announcement by Ken Schapman, USDA Farm Service Agency program chief in Michigan.

“LIP provides livestock producers with a vital safety net to help them overcome the damaging financial impact of natural disasters,” Schapman says. 

LIP compensates livestock owners and contract growers for livestock death losses in excess of normal mortality due to an eligible adverse weather event, including losses due to hurricanes, floods, blizzards, disease, wildfires, extreme heat and extreme cold.

“FSA disaster assistance programs, such as LIP, have stringent deadlines, so it is very important for producers to communicate quickly with our well-trained staff when their farms suffer losses,” Schapman says.

Livestock that die within 60 days of the date of the weather event may be considered eligible for loss benefits if the animal died because of the event. A notice of loss must be filed with FSA within 30 days of when the loss of livestock is apparent. Producers must also file an application for payment no later than 90 days after the calendar year in which the eligible loss condition occurred.

The LIP national payment rate for eligible livestock owners is based on 75% of the average fair market value of the livestock.

Producers should contact their local county FSA office to schedule an appointment to submit a notice of loss and application for payment.  To find their local FSA office, farmers and ranchers can use the USDA Service Center locator.

Producers are encouraged to bring supporting evidence, including documentation of the number and kind of livestock that died, supplemented if possible by photographs or video records to document the loss, purchase records, veterinarian records, production records and other similar documents.

Source: USDA

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