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RMA: Upgrades Coming to Rainfall Data Collection System for Crop Insurance Programs
Recently, the USDA Risk Management Agency (RMA) announced a transition to a new rainfall data source for several precipitation-based insurance programs. Since the beginning of the Pasture, Rangeland, Forage (PRF) program, the RMA has relied on data from the National Oceanic and Atmospheric Administration’s Climate Prediction Center (CPC).
As of April 2026, the RMA confirmed it will transition to a new system: the National Centers for Environmental Information (NCEI). Let’s break down what’s changing, what’s staying the same, and what it could mean for your operation.
When Is the RMA Rainfall Data Source Changing?
This transition is already underway, with the RMA transitioning the Hurricane Insurance Protection – Wind Index (HIP-WI) program’s Tropical Storm Option on April 30 2026. Shortly thereafter, beginning with the 2027 PRF Contract change date of August 31, 2026, the RMA will transition most other products, such as Pasture, Rangeland, Forage (PRF). Finally, the changes should finish with the Annual Forage (AF) plan moving to the new system on April 30, 2027.
| Insurance Product | Date of Change |
|---|---|
| HIP-WI Tropical Storm Option | April 30, 2026 |
| Pasture, Rangeland, Forage (PRF) | August 31, 2026 |
| Apiculture (API) | August 31, 2026 |
| Shellfish | August 31, 2026 |
| Annual Forage (AF) | April 30, 2027 |
What’s Changing?
The RMA has stated that “the geographic grids used to measure rainfall and overall structure of the programs will remain the same. Keeping the grids in place helps minimize impacts to producers.” After looking at the historical data, the RMA has also stated that overall loss ratios remain nearly identical with the newer data source.
What is planned to change though, is the speed at which the data is reported, and its format. RMA’s Pat Swanson stated: “These upgrades are about giving producers and their agents better tools to understand and trust the data behind their coverage. The coverage areas, the way these programs work and our commitment to actuarial soundness are not changing. What is changing is that producers and agents will now be able to look up the rainfall data themselves in a format they can use.”
The NCEI data is available in systems like Microsoft Excel, which is much more accessible to the public than the CPCs technical format that required special software to be able to view. This should allow for you, and your agent to more easily analyze the historical data. The partnership between the RMA and NCEI is also conducive towards faster, more predictable indemnity payments for producers.
| CPC (Old Data Source) | NCEI (New Data Source) | |
|---|---|---|
| Data Access | Technical format that was difficult for most agents and producers to access | Excel-friendly and easier for agents and producers to review directly |
| Transparency | Limited visibility into underlying rainfall data | Improved transparency and easier data review |
| Support | Limited support structure | Formal agreement with RMA and dedicated support |
| Future Improvements | Limited ability to expand weather station options | Potential for additional weather stations over time |
| Release Timing | Less predictable release timing | More consistent release schedule |
| Processing Speed | Slower finalization process | Faster final index values and indemnity payments |
| PRF Program Structure | Existing PRF structure | No change to PRF structure |
The RMA has stated that “the geographic grids used to measure rainfall and overall structure of the programs will remain the same. Keeping the grids in place helps minimize impacts to producers.” After looking at the historical data, the RMA has also stated that overall loss ratios remain nearly identical with the newer data source.
What is planned to change though, is the speed at which the data is reported, and its format. RMA’s Pat Swanson stated: “These upgrades are about giving producers and their agents better tools to understand and trust the data behind their coverage. The coverage areas, the way these programs work and our commitment to actuarial soundness are not changing. What is changing is that producers and agents will now be able to look up the rainfall data themselves in a format they can use.”
The NCEI data is available in systems like Microsoft Excel, which is much more accessible to the public than the CPCs technical format that required special software to be able to view. This should allow for you, and your agent to more easily analyze the historical data. The partnership between the RMA and NCEI is also conducive towards faster, more predictable indemnity payments for producers.
How Could This Affect My Insurance?
For most producers, the expected impact is minimal, as the program mechanics and quoting process will remain the same, though the indemnity process should be faster. You may notice some small variations after the transition though. There is a possibility for small differences in interval triggers at the grid level, and some intervals may trigger a bit differently than they did historically. You may also see some very minor differences in your individual indemnity outcomes. All these variances, however, are expected to be rather small.
What Should I Do?
While this change is mostly a data modernization effort, it’s still a great opportunity to:
- Review your current PRF or AF Strategy
- Evaluate your selected intervals and how they align with updated data
- Discuss any potential changes with a qualified agent
If you have concerns about how these changes may affect your operation, contact your Silveus Crop Insurance Agent so they can walk through the details with you using your operations grid and coverage selections.
Overall, this transition can be viewed as a modernization of the rainfall data system rather than a change to the PRF or AF programs themselves. While you may see some minor differences as the new data is implemented, the RMA is expecting the overall program performance and loss ratios to remain mostly the same. In addition, the easier to understand data, and proper support from NCEI should allow you and your agent to be capable of getting faster, and easier to understand information for more informed coverage discussions moving forward.