[Code of Federal Regulations]
[Title 7, Volume 6]
[Revised as of January 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR407.2]

[Page 86]
 
                          TITLE 7--AGRICULTURE
 
     CHAPTER IV--FEDERAL CROP INSURANCE CORPORATION, DEPARTMENT OF 
                               AGRICULTURE
 
PART 407_GROUP RISK PLAN OF INSURANCE REGULATIONS FOR THE 2005 AND SUCCEEDING CROP YEARS--Table of Contents
 
Sec. 407.2  Availability of Federal crop insurance.

    (a) Insurance shall be offered under the provisions of this part on 
the insured crop in counties within the limits prescribed by and in 
accordance with the provisions of the Federal Crop Insurance Act, (7 
U.S.C. 1501 et seq.) (the Act). The crops and counties shall be 
designated by the Manager of the Federal Crop Insurance Corporation 
(FCIC) from those approved by the Board of Directors of FCIC.
    (b) The insurance will be offered through companies reinsured by 
FCIC under the same terms and conditions as the contract contained in 
this part. These contracts are clearly identified as being reinsured by 
FCIC. Additionally, the contract contained in this part may be offered 
directly to producers through agents of the United States Department of 
Agriculture. Those contracts are specifically identified as being 
offered by FCIC.
    (c) No person may have in force more than one insurance policy 
issued or reinsured by FCIC on the same crop for the same crop year, in 
the same county, unless specifically approved in writing by FCIC.
    (d) Except as specified in paragraph (c) of this section, if a 
person has more than one contract authorized under the Act that provides 
coverage for the same loss on the same crop for the same crop year in 
the same county, all such contracts shall be voided for that crop year 
and the person will be liable for the premium on all contracts, unless 
the person can show to the satisfaction of the Corporation that the 
multiple contracts of insurance were without the fault of the person.
    (1) If the multiple contracts of insurance are shown to be without 
the fault of the person and:
    (i) One contract is an additional coverage policy and the other 
contract is a Catastrophic Risk Protection policy, the additional 
coverage policy will apply if both policies are with the same insurance 
provider, or if not, both insurance providers agree, and the 
Catastrophic Risk Protection policy will be canceled (If the insurance 
providers do not agree, the policy with the earliest date of application 
will be in force and the other contract will be canceled); or
    (ii) Both contracts are additional coverage policies or both are 
Catastrophic Risk Protection policies, the contract with the earliest 
signature date on the application will be valid and the other contract 
on that crop in the county for that crop year will be canceled, unless 
both policies are with the same insurance provider and the insurance 
provider agrees otherwise or both policies are with different insurance 
providers and both insurance providers agree otherwise.
    (2) No liability for indemnity or premium will attach to the 
contracts canceled as specified in paragraphs (d)(1)(i) and (ii) of this 
section.
    (e) The person must repay all amounts received in violation of this 
section with interest at the rate contained in the contract (see Sec. 
407.9, section 15).
    (f) A person whose contract with FCIC or with a company reinsured by 
FCIC under the Act has been terminated because of violation of the terms 
of the contract is not eligible to obtain crop insurance under the Act 
with FCIC or with a company reinsured by FCIC unless the person can show 
that the termination was improper and should not result in subsequent 
ineligibility.
    (g) All applicants for insurance under the Act must advise the 
insurance provider, in writing at the time of application, of any 
previous applications for insurance or contracts of insurance under the 
Act within the last 5 years and the present status of any such 
applications or insurance.

[64 FR 30219, June 7, 1999, as amended at 69 FR 48731, Aug. 10, 2004]