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Insurance Abstract
An insurance product comprises a crop risk insurance policy component
that insures against risk of loss for at least drought. An endorsement
assembly is associated with the crop risk insurance policy component.
The endorsement assembly comprises a grower compliance requirement,
a right of payment, and ancillary terms and conditions. The grower
compliance requirement requires a grower to comply with a qualified
crop input plan for a particular crop in a field. The right of payment
is contingent upon a first yield per unit land area of the particular
in the field less than second yield per unit land area of a geographic
area by more than a threshold amount. The geographic area covers
a greater area than the field and is representative of at least
one of the soil characteristics and the climate associated with
the field. The right of payment is contingent upon compliance of
the grower with the ancillary terms and conditions.
Insurance Claims
1. An insurance product comprising: a crop risk insurance policy
component that insures against risk of loss for at least drought;
an endorsement assembly associated with the crop risk insurance
policy component, the endorsement assembly comprising: a grower
compliance requirement requiring a grower to comply with a qualified
crop input plan for a particular crop in a field; a right of payment
contingent upon a first yield per unit land area of the particular
in the field less than second yield per unit land area of a geographic
area by more than a threshold amount, the geographic area covering
a greater area than the field and representative of at least one
of the soil characteristics and the climate associated with the
field; and ancillary terms and conditions, the right of payment
contingent upon compliance of the grower with the ancillary terms
and conditions.
2. The insurance product according to claim 1 wherein the minimum
threshold percentage is approximately five percent.
3. The insurance product according to claim 1 wherein the geographic
area comprises one or more of the following: a country, a state,
a county, a province, a canton, a region, a weather growing zone,
a rainfall zone, a climate zone, and a soil parameter zone.
4. The insurance product according to claim 1 wherein the first
yield per land unit is measured by at least one of a mass sensor,
a weight sensor, flow sensor, a moisture sensor, a piezoelectric
transducer, a grain flow sensor, a grain moisture sensor, a ground
speed sensor, a header position switch, an impact force sensor,
a plate displacement sensor, a volume measurement device, a load
cell system, a radiometric system, and a capacitance sensor.
5. The insurance product according to claim 1 wherein a sensor
detects the first yield per land unit at one of a harvester and
a combine; and a transmitter associated with the sensor transmits
the first yield per land unit to a data processing system via an
electromagnetic signal.
6. The insurance product according to claim 1 wherein the second
yield per land unit excludes the yields associated with compliant
fields within the geographic area that follow the management plan.
7. The insurance product according to claim 1 wherein the second
yield per land unit excludes the yields associated with noncompliant
fields within the geographic area that do not follow the management
plan.
8. The insurance product according to claim 1 wherein the ancillary
terms and conditions require the grower to establish or have established
a test strip and at least one check strip associated with the test
strip a the field.
9. The insurance product according to claim 1 wherein the ancillary
terms and conditions include identifying different zones in the
field based on at least one of soil properties and previously grown
crops and associating a test strip with each identified different
zone.
10. The insurance product according to claim 1 wherein the zones
are based on a crop history for the zone, a crop input history for
the zone, a historic nutrient exposure of the zone, and a nutrient
mobility rating associated with the zone, and a hydraulic mobility
rating associated with the zone, and an irrigated zone versus a
non-irrigated zone.
Insurance Description
[0001] This document claims priority based on U.S. provisional application
Ser. No. 60/588,808, filed Jul. 16, 2004, and entitled RISK MANAGEMENT
ON THE APPLICATION OF CROP INPUTS, under 35 U.S.C. 119(e).
FIELD OF THE INVENTION
[0002] This invention relates to an insurance product associated
with risk management on the application of crop inputs.
BACKGROUND OF THE INVENTION
[0003] The identity, timing and amount of application of crop inputs
to a field may be determined by one or more of the following factors:
maximizing yield of a crop, reducing the overall cost of a crop
inputs, varying the rate of application of crop inputs to reduce
the cost of crop inputs or to improve yield, complying with governmental
regulations, following environmental best practices or voluntary
environmental stewardship practices, applying scientific or agronomic
models, complying with contractual constraints imposed by purchaser
or potential purchasers of a crop, and complying with crop insurance
requirements or crop insurance endorsements. For example, a scientific
or computer model may be applied to estimate yield performance of
a particular crop based on soil test results, environmental factors,
the historic application of crop inputs, and historic yield of a
previous crop to determine the timing and amount of application
of the crop inputs. Crop inputs may include nutrients, such as fertilizer,
nitrogen, phosphorous, potassium, and trace elements and minerals.
Other crop inputs include pesticides, insecticides, herbicides,
chemicals, plant hormones, water, irrigation, and other treatments
for vegetation or soil.
[0004] To minimize the risks of insufficient nutrients, excessive
weeds, or insect attacks on crop yields, growers may tend to over-apply
fertilizer, herbicides, insecticides, respectively, to crops in
an effort to maintain consistently high yields. However, the over-application
of crop inputs may raise production costs and cause pollution of
surface and ground water aquifers.
[0005] The Risk Management Agency, which is associated with the
U.S. Department of Agriculture, may approve one or more endorsements
(e.g., a Nutrient Best Management Practices (BMP) Endorsement) for
crop insurance products based on preferential growing practices.
Regulators outside of the U.S. may offer crop insurance products
that are based on preferential growing practices. Although most
growers are honest and operate with integrity, such endorsements
may be vulnerable to fraudulent activities or negligence of the
grower's personnel. Using traditional in-person monitoring and inspection
may be difficult, costly or impractical because of the geographic
scope of arable land. Accordingly, there is need for improved process
for risk management on the application of crop inputs to facilitate
pragmatic new crop insurance products and/or to facilitate growing
crops with particular traits.
SUMMARY OF THE INVENTION
[0006] An insurance product comprises a crop risk insurance policy
component that insures against risk of loss for at least drought.
An endorsement assembly is associated with the crop risk insurance
policy component. The endorsement assembly comprises a grower compliance
requirement, a right of payment, and ancillary terms and conditions.
The grower compliance requirement requires a grower to comply with
a qualified crop input plan for a particular crop in a field. The
right of payment is contingent upon a first yield per unit land
area of the particular in the field less than second yield per unit
land area of a geographic area by more than a threshold amount.
The geographic area covers a greater area than the field and is
representative of at least one of the soil characteristics and the
climate associated with the field. The right of payment is contingent
upon compliance of the grower with the ancillary terms and conditions.
BRIEF DESCRIPTION OF THE DRAWINGS
[0007] FIG. 1 is a block diagram of one embodiment of a system
for managing a crop insurance program or grower compliance plan.
[0008] FIG. 2 is a flow chart of one example of a method for managing
a crop insurance program or grower compliance plan.
[0009] FIG. 3 shows the application of an input management plan
in greater detail than FIG. 2.
[0010] FIG. 4 is a flow chart of another example of a method for
managing a crop insurance program or a grower compliance plan.
[0011] FIG. 5 shows the application of an input management plan
in greater detail than FIG. 4.
[0012] FIG. 6 is a flow chart of yet another example of a method
for managing a crop insurance program or grower compliance plan.
[0013] FIG. 7 is a block diagram of another embodiment of a system
for managing a crop insurance program or grower compliance plan.
[0014] FIG. 8 is a plan view of an exemplary field with different
test strips associated with corresponding zones of the field.
[0015] FIG. 9 is a block diagram of yet another embodiment of a
system for managing a crop insurance program or grower compliance
plan.
[0016] FIG. 10 is a block diagram of still another embodiment of
a system for managing a crop insurance program or grower compliance
plan.
DESCRIPTION OF THE PREFERRED EMBODIMENT
[0017] In FIG. 1 the system for managing a crop insurance program
or grower compliance plan comprises work vehicle electronics 24
that communicates field input data to a data processing system 10
via an electromagnetic signal or otherwise. As used herein, a crop
input management plan comprises a plan consistent with a crop insurance
program, a grower compliance plan consistent with a contractual
obligation of a grower, or both. One or more data sources 34 may
communicate aggregate field input data for a defined geographic
area to the data processing system 10 via a communications network
32 (e.g., the Internet) or another communications link. The data
sources 34 may provide one or more of the following input data:
yield data for a geographic area 36, soil characteristics for a
geographic area 38, climate data for a geographic area 40, weather
data for a geographic area 41, or other agronomic, topographical,
geological, meteorological, or agricultural data that is commercially
available, publicly available, or made available by any government
or agency affiliated therewith.
[0018] The geographic area comprises one or more of the following:
a country, a state, a county, a province, a canton, a region, a
weather growing zone, a rainfall zone, a climate zone, a user definable
zone, and a soil parameter zone. The geographic area may include
or encompass the field (e.g., the geographic boundaries of the field)
or the geographic area may share a substantially similar analogous
climate, weather, growing degree days, growing zone, duration of
growing season, and other agronomic characteristics.
[0019] The data processing system 10 comprises the following modules:
a planning module 12, an estimator 14, a data processor 16, a communications
interface 18, and a wireless communications device 20. In one embodiment,
two or more of the foregoing modules may communicate with each other
via a databus 22. In an alternate embodiment, two or more of the
modules (12, 14, 16, 18 and 20) may communicate with each other
via a logical data path, a physical data path, or both (e.g., in
a distributed architecture). The planning module 12 determines an
input management plan for application of a crop input to a field
within or related to a defined geographic area. The sensor 28, associated
with the work vehicle electronics 24, measures a first yield per
land unit of a particular crop associated with the field. The estimator
14 of the data processing system 10 estimates a second yield per
land unit of the particular crop associated with the defined geographic
area. The defined geographic area may refer to one or more of the
following: a country, a state, a county, a province, a canton, a
region, a weather growing zone, a rainfall zone, a climate zone
and a soil parameter zone. It is possible to define the defined
geographic area (a) to be representative of (e.g., or substantially
similar to) the weather, climate, growing zone, rainfall zone, and/or
soil parameter zone of the field and (b) to be greater in size (e.g.,
acreage) than the field. The particular crop may include grain,
oilseed, fiber, cotton, corn, soybeans, wheat, rice, barley, oats,
flax, vegetables, fruits, edible plants, inedible plants, food crops,
or any other crop. The data processor 16 determines a difference
or variation between the first yield and the second yield. A communications
interface 18 makes available (a) the determined difference or an
indicator based thereon and (b) an identifier (e.g., a field identifier
or grower identifier associated with the field) to a data processing
system 42 (e.g., an insurer back-office computer) of a receiving
entity (e.g., of an insurer). The receiving entity may represent
a regulator, a governmental entity, or another person or business
that is associated with at least one of claims and insurance on
the field. The indicator may indicate whether the first yield meets,
falls below, or exceeds expectations with respect to the second
yield or another performance metric or standard. A grower identifier
may indicate the name of a grower, a name of the grower's business,
the grower's street address or the field's geographic coordinates,
for example. The grower may contractually consent to the use of
the grower identifier and related information incidental to the
purchase of a crop insurance policy.
[0020] In one embodiment, the communications interface 18 device
comprises a transmitter, a transceiver, a network interface module,
a wireline communications device, a modem, a cable modem. The communications
interface 18 is configured to transmit the difference or the indicator
electronically to a data processing system 42 of an insurer, or
another person or entity. The communications interface 18 may include
communications software such as a web browser or support software
for supporting hardware associated with the communications interface
18. Although an Internet Service Provider (ISP) is not shown, in
an alternate embodiment an ISP may be interposed between the communications
interface 18 and the communications network 32 (e.g., Internet).
[0021] The communications interface 18 may transmit the difference
or the indicator to an insurer if the first yield and the second
yield differs by more than a minimum threshold percentage. The minimum
threshold percentage may be determined by an insurer, an insured,
an insurance underwriter, risk evaluation, historic claims, a government
regulator, the Risk Management Agency, the U.S. Department of Agriculture,
or a combination of the foregoing, for example. Although other minimum
thresholds fall within the scope of the invention, in one example
the minimum threshold percentage is approximately five percent.
[0022] The work vehicle electronics 24 comprises the following
elements: a controller 29, a sensor 28, a dispensing actuator 30,
a location-determining receiver 31, and a wireless communications
device 26. Two or more of the foregoing elements may communicate
with one another via the databus 25 or another physical or logical
data path. The sensor 28 may be used to sense the yield, volume,
weight, or quantity of a particular crop or a harvested agricultural
product (e.g., grain, oilseed, or fiber). The sensor 28 or controller
29 may include data processing for determining a yield per unit
land for a field in which the work vehicle operates. The location-determining
receiver 31 may comprise a Global Positioning System (GPS) receiver
for determining the location of the work vehicle, estimating ground
speed of the work vehicle for yield determination, and determining
whether the vehicle is located within a particular field or subfield
region thereof.
[0023] As the crop in a field is harvested, the location-determining
receiver 31 provides location data to determine that the harvested
crop is associated with the proper corresponding field (or subfield
geographic location or region) in which it was grown. The controller
may compare the location data outputted from the location-determining
receiver 31 during harvesting to the reference location data associated
with boundaries of the field to determine whether or not the work
vehicle is harvesting in the field (or subfield geographic location
or region).
[0024] The controller 29 may instruct the dispensing actuator 30
to meter or control the volume, rate, weight or quantity of an agricultural
input dispensed or distributed within the field or subfield region.
For example, a crop input may include a nutrient, fertilizer, a
micronutrient, a mineral, a trace element, insecticide, pesticide,
herbicide, fungicide, plant hormone, insect bacteria, insect virus,
water, chemicals, manure, acid, alkaline material, a pH-balancing
additive (e.g., lime stone powder), or other input that may be applied
to a field.
[0025] The sensor 28 comprises at least one of a mass sensor, a
weight sensor, flow sensor, a moisture sensor, a piezoelectric transducer,
a grain flow sensor, a grain moisture sensor, a ground speed sensor,
a header position switch, an impact force sensor, a plate displacement
sensor, a volume measurement device, a load cell system, a radiometric
system, and a capacitance sensor. In one illustrative example, the
sensor 28 is mounted in the path of crop flow (e.g., grain flow)
within the work vehicle (e.g., combine or harvester). The sensor
28 detects the first yield per land unit for a harvester, a combine,
or another work vehicle. The wireless communications device 26 (of
the work vehicle electronics 24) is arranged to transmit the measured
data relating to the first yield per land unit to a wireless communications
device 20 (of the data processing system 10) via an electromagnetic
signal.
[0026] Although other configurations are possible, the sensor 28
may include a movable member (e.g., a plate) that is associated
with the path of harvested agricultural product and mounted via
a piezoelectric transducer or another electromechanical device for
measuring force or displacement associated with the flow of the
agricultural product (e.g., grain). During operation of the sensor
28, the movable member is displaced by the flow of agricultural
product (e.g., grain) associated with a harvester, combine or other
agricultural equipment such that the amount of displacement or force
measured by a piezoelectric transducer indicates the quantity, volume,
or weight of harvested grain. Further, in one embodiment, sensor
28 may include an optional moisture detector for measuring the moisture
content of the grain. The moisture detector may comprise capacitive
plates or probes that are associated with the path of harvested
agricultural product. Each range or level of moisture in the agricultural
product is associated with a corresponding capacitance range or
level between the capacitive probes. The weight, volume or quantity
determined by the electrical energy produced by the electrical transducer
(or other device for measuring force or displacement of the sensor
28) is adjusted to compensate for grain moisture to accurately determine
the yield of a particular crop. The moisture compensation determined
by the capacitance may vary, and may be subject to further correction,
depending upon the type or variety of grain grown, the amount of
rainfall during the growing season, the time of day of harvesting,
ambient humidity during harvesting, weather conditions during harvesting,
and other factors, for example.
[0027] The insurance management system of FIG. 1 may be applied
to managing an insurance policy or endorsement for yield-monitored
crop insurance, Best Management Practices (BMP) crop insurance,
another form of crop insurance, or risk management of growing practices.
[0028] FIG. 2 discloses a method for managing a crop insurance
program or a grower compliance plan. A grower compliance plan may
be associated with a contractual requirement between a grower and
a potential purchaser of a grower's output conditional upon the
grower's output being substantially compliant to a grower compliance
plan. The grower compliance plan may require a particular crop to
have a certain characteristic or trait, or a certain characteristic
(e.g., protein content or oil content of the crop) and a corresponding
level or range (e.g., greater than a certain percent by volume or
weight of the crop) for such characteristic. The method of FIG.
2 begins in step S100.
[0029] In step S100, a planning module 12, a consultant, or a qualified
person determines an input management plan for application of a
crop input to a field within a defined geographic area. The qualified
person may have specialized experience, skill, training, formal
education, or certification, for example in providing advice or
consultation on the preparation and recommendation of a crop input
management plan. In general, the geographic area may comprise one
or more of the following: a country, a state, a county, a province,
a canton, a region, a weather growing zone, a rainfall zone, a climate
zone, and a soil parameter zone. In one embodiment, the geographic
area is greater in geographic scope than the field and substantially
similar to one or more characteristics (e.g., weather, climate,
soil, growing degree days, endemic insect populations, plant disease
rates and frequencies) of the field. In one example, the input plan
may comprise the following plan components: a time window, quantity,
and concentration of nitrogen fertilizer to be applied to a particular
field for a corresponding crop.
[0030] In step S101, the determined input management plan is applied.
The input management plan may be implemented by a work vehicle equipped
with work vehicle electronics 24 for the controlled distribution
or dispensation of one or more crop inputs. For example, the determined
input plan may apply a crop input (e.g., nitrogen) consistent with
a preferential rate (e.g., concentration), temporal window (date
of application), and specification (e.g., solubility in an aqueous
solution within a defined tolerance) to a geographic area on a field
or sub-field basis.
[0031] In step S102, a sensor 28 or work vehicle electronics 24
measures a first yield per land unit of a particular crop associated
with the field. The sensor 28 may comprise one or more of the following
components: a mass sensor, a weight sensor, flow sensor, a moisture
sensor, a piezoelectric transducer, a grain flow sensor, a grain
moisture sensor, a ground speed sensor, a header position switch,
an impact force sensor, a plate displacement sensor, a volume measurement
device, a load cell system, a radiometric system, and a capacitance
sensor. The measuring of the first yield per land unit comprises
detecting the first yield per land unit at a harvester, a combine,
or a work vehicle and transmitting the first yield per land unit
to a data processing system 10 via an electromagnetic signal.
[0032] In step S104, an estimator 14 estimates a second yield per
land unit of the particular crop associated with the defined geographic
area. The estimator 14 may estimate the second yield in accordance
with various techniques that may be applied alternately or cumulatively.
Under a first technique, the estimator 14 estimates the second yield
excluding the yields associated with compliant fields (e.g., compliance
with insurance policy requirements or contractual grower requirements
or a crop management plan) within the geographic area that follow
the management plan. Under a second technique, the estimator 14
estimates the second yield excluding the yields associated with
noncompliant fields (e.g., noncompliant with insurance policy requirements
or contractual grower requirements or a crop management plan) within
the geographic area that do not follow the management plan.
[0033] In step S106, a data processor 16 determines a difference
or variation between the first yield and the second yield. For example,
the difference may be expressed as a volumetric difference, a weight
difference, bushels, bushels per acre, weight per acre, net weight
(e.g., gross weight minus tare weight) or otherwise.
[0034] In step S108, a communications device makes available (a)
the determined difference, or an indicator based thereon, and (b)
a respective identifier to a receiving entity. The identifier may
comprise a field identifier of a field or a grower identifier for
grower associated with the crop. The receiving entity is any person,
business, or governmental entity with an interest in the growers
compliance with a crop insurance policy or other contractual obligation.
For example, the receiving entity may represent an insurer that
is associated with at least one of claims and insurance on the field.
Alternatively, the receiving entity may represent a purchaser of
the grower's crop or a portion thereof.
[0035] In step S108, the making available of the determined difference
information may be accomplished in accordance with various alternate
procedures. Under a first procedure, the making available comprises
transmitting the difference electronically to an insurer (e.g.,
its back office computer). Under a second procedure, the making
available comprises transmitting the difference to an insurer if
the first yield and the second yield differs by more than a minimum
threshold percentage. Although other minimum threshold percentages
that are greater or less may fall within the scope of the invention,
in one embodiment, the minimum threshold percentage is approximately
five percent.
[0036] The procedure of FIG. 3 shows step S101 of FIG. 2 in greater
detail.
[0037] In step S120, a sensing station 50 (FIG. 9) or a sensor
28 detects an agronomic factor and associates the agronomic factor
with a corresponding time stamp. An agronomic factor comprises one
or more of the following: soil characteristics, soil moisture level,
soil nitrogen level, and soil nutrient level.
[0038] In step S122, a sensing station 50, controller 29, or data
processor 16 determines if an agronomic factor is compliant with
a reference criteria. If the agronomic factor is not compliant,
the method continues with step S124. However, if the agronomic factor
is compliant, the method continues with step S126.
[0039] In step S124, the grower is notified and provided with a
prescription (e.g., a warning, instructions, or other notification)
for application of a crop input within an allotted time. In a first
example, the user interface 48 (FIG. 7) of a crop input planning
system 46 displays or provides a user with a prescription for application
of a crop input within an allotted time. In a second example, the
work vehicle electronics 24 determines a prescription for application
of the crop input within the allotted time based on agronomic data
of the sensor 28 or the sensing station 50. The work vehicle electronics
24 may display the prescription or merely provide input data to
the dispensing actuator 30 to carry out the prescription. In a third
example, the planning module 12 develops a prescription based on
the agronomic factor from a sensing station 50 or sensor 28 and
electromagnetically transmits such prescription to the work vehicle
electronics 24 in electronic form (e.g., a data file of crop input
identifier, and rate versus location data).
[0040] In step S126, the sensing station 50, the data processor
16, or the work vehicle electronics 24 determines if the grower
has fulfilled the prescription within the allotted time. If the
grower has fulfilled the prescription within the allotted time,
the method continues with step S102 of FIG. 2, for example. However,
if the grower has not fulfilled the prescription within the allotted
time, the method continues with step S128.
[0041] In step S128, the data processing system notifies an insurer
or other party of noncompliance with the prescription, a crop insurance
policy or an endorsement via a communications network 32 or otherwise.
For example, the data processing system 10 may send a data message
to the data processing system 42 (e.g., insurer back-office computer)
via the communications network 32 (e.g., a data packet network or
Internet) or another communications link. The data message is directed
or addressed to the data processing system 42.
[0042] FIG. 4 shows an alternate method of managing a insurance
program or a grower compliance program. The method of FIG. 4 begins
in step S200.
[0043] In step S200, a planning module 12, a consultant, or a qualified
person determines a variable input management plan for variable
application of a crop input to a field within a defined geographic
area. The field may be subdivided into materially distinct soil
zones such that each distinct soil zone can receive specialized
or disparate treatment (e.g., variable application of crop inputs)
to maximum crop performance or yield across an entire field. The
qualified person may have specialized experience, skill, training,
formal education, or certification, for example in providing advice
or consultation on the preparation and recommendation of a crop
input management plan. In one example, the geographic area comprises
one or more of the following: a country, a state, a county, a province,
a canton, a region, a weather growing zone, a rainfall zone, a climate
zone, and a soil parameter zone.
[0044] In step S201, the determined variable input management plan
is applied. The variable input management plan may be implemented
by a work vehicle equipped with work vehicle electronics 24 for
the controlled distribution or dispensation of one or more crop
inputs to various soil zones within the field. For example, the
determined variable input plan may apply a crop input (e.g., nitrogen)
consistent with a preferential variable rate versus location within
a field or subfield region, temporal window (e.g., date of application),
and specification (e.g., solubility) to a geographic area on a field
or sub-field basis.
[0045] In step S202, a sensor 28 or work vehicle electronics 24
measures a first yield per land unit of a particular crop associated
with the field in or more distinct soil zones. For example, each
distinct soil zone within the field may be associated with a corresponding
yield or yield range for the particular crop. The measuring of the
first yield per land unit comprises detecting the first yield per
land unit at a harvester, a combine, or a work vehicle and transmitting
the first yield per land unit in or more distinct soil zones to
a data processing system 10 via an electromagnetic signal or otherwise.
[0046] In step S204, for each distinct soil zone, an estimator
14 estimates a second yield per land unit of the particular crop
associated with the defined geographic area. The estimator 14 may
estimate the second yield in accordance with various techniques
that may be applied alternately or cumulatively. Under a first technique,
the estimator 14 estimates the second yield excluding the yields
associated with compliant fields (e.g., compliance with insurance
policy requirements or contractual grower requirements or a crop
management plan) within the geographic area that follows the input
management plan or a substantially similar input management plan.
Under a second technique, the estimator 14 estimates the second
yield excluding the yields associated with noncompliant fields (e.g.,
noncompliant with insurance policy requirements or contractual grower
requirements or a crop management plan) within the geographic area
that does not follow the input management plan or a substantially
similar input management plan.
[0047] In step S206, for each distinct soil zone, a data processor
16 determines a difference or variation between the first yield
and the second yield. For example, the difference may be expressed
as a volumetric difference, a weight difference, bushels, bushels
per acre, weight per acre, a net weight, or otherwise.
[0048] In step S208, for each distinct soil zone, a communications
device (e.g., communications interface 18) makes available the determined
difference and a respective identifier to a receiving entity that
is an interest in the grower's compliance with a contractual obligation
associated with the crop in the field. The identifier may represent
a field identifier or a grower identifier associated with the field.
The receiving entity may represent an insurer that is associated
with at least one of claims and insurance on the field. Alternatively,
the party may represent a purchaser of the grower's crop or a portion
thereof.
[0049] In step S208, the making available of the determined difference
information may be accomplished in accordance with various alternate
procedures. Under a first procedure, the making available comprises
transmitting the difference electronically to an insurer. Under
a second procedure, the making available comprises transmitting
the difference to an insurer if the first yield and the second yield
differs by more than a minimum threshold percentage. Although other
minimum threshold percentages that are greater or less may fall
within the scope of the invention, in one embodiment, the minimum
threshold percentage is approximately five percent.
[0050] The procedure of FIG. 5 shows step S201 of FIG. 4 in greater
detail.
[0051] In step S210, different soil zones are identified in a field
based on soil properties associated with the depletion, leaching,
availability, or unavailability of one or more soil nutrients or
water.
[0052] In step S212, a sensing station 50 (FIG. 9) or a sensor
28 detects an agronomic factor (e.g., soil characteristics, soil
moisture level, soil nitrogen level, and soil nutrient level) at
a corresponding measurement time (e.g., a time stamp) within the
identified different soil zones in the field. An agronomic factor
comprises one or more of the following: soil characteristics, soil
moisture level, soil nitrogen level, and soil nutrient level.
[0053] In step S214, a sensing station 50, controller 29, or data
processor 16 determines if an agronomic factor is compliant with
a reference criteria in one or more of the multiple soil zones.
In one example, under a first reference criteria sensing stations
50 determine if an agronomic factor is compliant with a reference
criteria in a majority of the multiple soil zones. In a second example,
under a second reference criteria sensing stations 50 determine
if an agronomic factor is compliant with a reference criteria over
all soil zones. If the agronomic factor is not compliant in one
or more of the multiple soil zones in accordance with the first
reference criteria and the second reference criteria, the method
continues with step S216. However, if the agronomic factor is compliant
in all of the soil zones, the method continues with step S218.
[0054] In step S216, the grower is notified and provided with a
zone-based prescription for application of a crop input within an
allotted time for the noncompliant zone or zones. In one example,
the user interface 48 (FIG. 7) of a crop input planning system 46
displays or provides a user with a zone-based prescription for application
of a crop input within an allotted time. In another example, the
work vehicle electronics 24 determines a zone-based prescription
for application of the crop input within the allotted time. The
work vehicle electronics 24 may display the prescription or merely
provide input data to the dispensing actuator 30 to carry out the
zone-based prescription.
[0055] In step S218, the sensing station 50, the data processor
16, or the work vehicle electronics 24 determines if the grower
has fulfilled the zone-based prescription within the allotted time.
If the grower has fulfilled the prescription within the allotted
time, the method continues with step S202 of FIG. 4, for example.
However, if the grower has not fulfilled the prescription within
the allotted time, the method continues with step S220.
[0056] In step S220, the data processing system 10 notifies an
insurer or other party of noncompliance with the zone-based prescription,
a crop insurance policy or an endorsement via a communications network
32 or otherwise. For example, the data processing system 10 may
send a data message to the data processing system 42 (e.g., insurer
back-office computer) via the communications network 32 (e.g., a
data packet network or Internet) or another communications link.
[0057] FIG. 6 shows an alternate method of managing a insurance
program or a grower compliance program. The method of FIG. 6 begins
in step S100.
[0058] In step S100, a planning module 12, a consultant, or a qualified
person determines an input management plan for application of a
crop input to a field within a defined geographic area. The qualified
person may have specialized experience, skill, training, formal
education, or certification, for example in providing advice or
consultation on the preparation and recommendation of a crop input
management plan. The geographic area comprises one or more of the
following: a country, a state, a county, a province, a canton, a
region, a weather growing zone, a rainfall zone, a climate zone,
and a soil parameter zone.
[0059] In step S110, a sensor 28 measures or facilitates the determination
of a field yield associated with a field having a field area within
a geographic area.
[0060] In step S112, an estimator 14 estimates an aggregate yield
of a particular crop associated with a geographic zone. The aggregate
yield is associated with a land area generally equivalent to that
of the field area.
[0061] In step S114, a data processor 16 determines a difference
between the field yield and the aggregate yield.
[0062] In step S108, a communications interface 18 makes available
the determined difference and a field identifier associated with
the field to an insurer, governmental regulator, or other entity
that is associated with at least one of claims and insurance on
the field.
[0063] FIG. 7 shows an alternate embodiment of a block diagram
of a system for managing an insurance program or a grower compliance
program. The system of FIG. 7 is similar to the system of FIG. I
except the system of FIG. 7 has a different data processing system
44 without an integral planning module 12 resident therein. Instead,
the planning module 12 is associated with a crop input planning
system 46.
[0064] The crop input planning system 46 may comprise a user interface
48 and a planning module 12. The user interface 48 may support a
user inputting data, outputting data, entering commands, or otherwise
interacting with the crop input planning system 46.
[0065] The crop input planning system 46 may be used to verify
crop input recommendations from a consultant or qualified expert,
to supplement such recommendations, or to deliver the crop input
recommendations from the consultant or qualified expert. The crop
input planning system 46 may output the crop input recommendations
in a standard data format that is recognizable by the communications
interface 18 of the data processing system 10. Further, the planning
module 12 may support the preparation and arrangement of control
commands for controlling the dispensing actuator 30 of the work
vehicle electronics 24. The wireless communications device 20 of
the data processing system 10 may communicate the control commands
(or a data file representing such control commands) to the wireless
communications device 20 of the work vehicle electronics 24 via
an electromagnetic signal (e.g., radio frequency transmission, spread-spectrum
transmission, any modulation scheme, encoding scheme, digital, or
analog format licensed or unlicensed by the Federal Communications
Commission or another governmental regulator).
[0066] FIG. 8 shows a plan view of an illustrative field 51 in
accordance with one embodiment. Other plan views and arrangements
may fall within the scope of the claims. The illustrative field
51 may be used to carry out monitoring of a best management practices
(BPM) program or program in which growers are given recommendations
or prescriptions on growing crops in accordance with certain growing
practices. The growing practices may arise from the desire to conserve
in the amount of fertilizer, nutrients, pesticides, fungicides,
herbicides, and other chemicals applied to crops to reduce the cost
of agricultural inputs, preferably without materially reducing the
yield of the crop. However, the growing practices may relate to
growing specialty crops, pharmaceutical crops, genetically modified
crops, organic crops, non-genetically modified crops, or crops with
specific attributes to fulfill the terms of a contract for the purchase
of the crops or to provide a crop that is compliant with some recognized
standard.
[0067] In FIG. 8, soil survey data is used to develop two or more
different zones within the field 51. As illustrated in the example
of FIG. 8, the field 51 contains a first zone 82 and a second zone
84, but more zones per field are permitted, which may vary based
on the size of the field, local terrain, and local soil characteristics,
among other factors. In one embodiment, different zones (e.g., the
first zone 82 and the second zone 84) are identified in the field
51 based on at least one of soil properties and previously grown
crops. The zones are based on a crop history for the zone, a crop
input history for the zone, a historic nutrient exposure of the
zone, and a nutrient mobility rating associated with the zone, and
a hydraulic mobility rating associated with the zone, and an irrigated
zone versus a non-irrigated zone. In one embodiment, each zone may
be selected to be generally representative of one or more respective
remaining portions of the field 51 of greater land area than the
corresponding zone itself.
[0068] In general, each zone may contain a test strip (e.g., a
first test strip 86 and a second test strip 90) that is bounded
by one or more check strips (e.g., a first check strip 88 and second
check strip 92). The test strip is a region in which the grower
can treat in accordance with the growers' own preferences to produce
a higher yield or to fulfill an attribute specification or contract
for a particular crop. The test strip is generally linear or curved
such that a planter, tractor, or another work vehicle may physically
traverse the path formed by the test strip. The check strips are
treated in accordance with a prescription or recommendation provided
by the planning module 12 or a qualified consultant.
[0069] As illustrated in FIG. 8, the first zone 82 contains a first
test strip 86 and is bounded by adjacent check strips on both sides,
which are referred to as the first check strips 88; the second zone
84 contains a second test strip 90 and is bounded by adjacent check
strips on both sides, which are referred to as second test strips
92.
[0070] A consultant may supervise or administer the preferential
growing practices (e.g., best management practices) for the check
strips (e.g., the first check strips 88, the second check strips
92, or both). For example, the consultant may distribute crop inputs
at particular times at particular dosages during or prior to a growing
season for the crop. If the difference between the test strip and
one of the check strips (e.g., at least one side of the first check
strips 88 or the second check strips 92) varies by a material amount,
the grower may be entitled to a payment of an insurance benefit,
subject to the terms and conditions of any insurance policy granted
on the performance of the crop.
[0071] In a first configuration, the difference between the test
strip and the check strip must be present in majority of the zones
before the grower may be entitled to a payment of an insurance benefit,
among other requirements. Further, the yield associated with the
test strip should be greater than the yield of the check strip by
some material amount as a condition precedent to the payment of
any insurance benefit to the insured.
[0072] In second configuration, the difference between the test
strip and check strip must be present in all of the zones before
the grower may be entitled to a payment of an insurance benefit,
among other requirements. Further, the yield associated with the
test strip should be greater than the yield of the check strip by
some material amount as a condition precedent to the payment of
any insurance benefit to the insured.
[0073] In a third configuration, the recommendation or prescription
of the farmer may vary by zone, such that each zone is independent
of the other zone with respect to whether or not the test strip
is compliant or noncompliant, among other requirements. Further,
the yield associated with the test strip should be greater than
the yield of the check strip by some material amount as a condition
precedent to the payment of any insurance benefit to the insured.
[0074] Each zone is associated with at least one sensing station
50. For example, the sensing station 50 may be positioned to collect
data associated with a test strip, a check strip, or otherwise.
The sensing station 50 may include at least one of a weather monitor
54, a soil moisture detector, and nutrient level detector.
[0075] The sensing station 50 may operate in accordance with several
alternate or cumulative techniques. Under a first technique, the
sensing station 50 may store historical sensor 28 data in the deployed
remote sensors 28 and may communicate the stored sensor 28 data
via an electromagnetic signal to a remote data processing system
10 upon interrogation, polling, at defined intervals, upon accumulation
of a threshold amount of sensor data or otherwise. Under a second
technique, the work vehicle electronics 24 may be mounted on a work
vehicle (e.g., a harvester or a combine) for harvesting the particular
crop. The work vehicle electronics 24 may interrogate the sensing
station 50 during the harvesting process to gather from one day
to an entire season of collected data. The collected data may be
forwarded by the work vehicle electronics 24 to the data processing
system 10 for further processing consistent therewith. The collected
data may be analyzed or screened to determine if the grower may
have engaged in fraud or other activities or noncompliant growing
practices that materially depart from the crop input plan or qualified
recommendations.
[0076] FIG. 9 shows a system that is similar to the system of FIG.
1, except the system of FIG. 9 further comprises one or more sensing
stations 50. Like reference numbers indicate like elements in FIG.
1, FIG. 8, and FIG. 9.
[0077] The sensing station 50 comprises a soil sensor 52, a weather
monitor 54, and a wireless communications device 56 (e.g., a transceiver
or transmitter). Further, in the embodiment shown in FIG. 9, the
sensing station 50 may further comprise a data storage device 53
for storing sensed data, soil data, weather data, soil moisture
data, temperature data, barometric pressure data, rainfall, or other
data. In one embodiment, the soil sensor 52 comprises at least one
of a soil moisture detector and nutrient level detector. Sensing
stations 50 may be deployed in the field, in the geographic area
outside of the field, or both.
[0078] The data storage may be used to store historical sensor
28 data in the deployed remote sensors 28 until communicated via
a wireless transmission or electromagnetic signal by the wireless
communications device 56 to at least one of a wireless communications
device 20 (e.g., of data processing system 10) and the wireless
communications device 26 of the work vehicle electronics 24. The
sensing station 50 may transmit the stored sensor 28 data via an
electromagnetic signal to a remote data processing system 10 upon
interrogation, under a polling scheme, at defined time intervals,
upon accumulation of a threshold amount of data, or otherwise. For
example, the wireless communications device 26 of the work vehicle
electronics may interrogate the sensing station 50 via its wireless
communications device 56 which passively listens or receives signals
to conserve battery longevity or an electrical charge associated
with another energy storage device.
[0079] In one configuration, the work vehicle electronics 24 comprises
a remote data processing system 10 that is mounted on a work vehicle
(e.g., a harvester or a combine) for harvesting the particular crop.
[0080] The system of FIG. 10 is similar to the system of FIG. 1
except the system of FIG. 10 further includes a noncompliance/fraud
detector 55 associated with the data processing system 10.
[0081] The noncompliance/fraud detector 55 seeks to identify suspicious,
fraudulent, or noncompliant activities of the grower, particularly
with respect to the grower's treatment of the crops and the growers
nonconformance with the crop input plan (e.g., Best Management Practices
compliant plan) versus the environment contributing to the nonperformance
of the crop.
[0082] The sensing stations 50 are deployed in the field and in
the geographic area outside of the field. Each remote sensing station
50 comprises a weather monitor 54 and a soil sensor (e.g., moisture
detector and/or a nutrient level detector) to determine whether
any fraudulent manipulation of the field or test strips is taking
place. The occurrence of such fraudulent manipulation may be identified
by the data processor 16, which may include a non-compliance/fraud
detector 55. The non-compliance/fraud detector 55 may comprise a
non-compliance detection module that determines whether the grower
is intentionally or negligently neglecting the field or providing
other crop inputs that are out of the ordinary or not recommended
pursuant to the input management plan. The fraudulent incident or
potentially fraudulent incident may be reported from the non-compliance/fraud
detector 55 or data processor 16 to the data processing system 10
of the insurer. In one embodiment, the sensing station 50 may regularly
or periodically detect the moisture level of the soil and the nitrogen
level of the soil, if the nitrogen level or the moisture level falls
below a minimum reference level, the grower and the insurer may
be alerted. The grower may be allotted some maximum time or time
window in the contract to correct the nitrogen level by the application
of more nitrogen or other fertilizer, crop inputs, or additives.
Similarly, the grower may be allotted some maximum time or time
window in the contract to correct the moisture level by the application
of more water or other additives.
[0083] An insurance product comprises a crop risk insurance policy
and an endorsement assembly associated with the crop insurance policy.
The crop risk insurance policy component may insure against risk
of loss for drought or another type of loss, for example. An endorsement
assembly is associated with the crop risk insurance policy component.
The endorsement assembly comprises a grower compliance requirement
requiring a grower to comply with a qualified crop input plan (e.g.,
Best Management Practices compliant plan) for a particular crop
in a field. For instance, right of payment is contingent upon a
first yield per unit land area of the particular crop in the field
less than second yield per unit land area of a geographic area by
more than a threshold amount. The geographic area covers a greater
area than the field and representative of at least one of the soil
characteristics and the climate associated with the field. Further,
the right of payment is generally contingent upon compliance of
the grower with the ancillary terms and conditions. In one embodiment,
the minimum threshold percentage is approximately five percent.
[0084] The geographic area comprises one or more of the following:
a country, a state, a county, a province, a canton, a region, a
weather growing zone, a rainfall zone, a climate zone, and a soil
parameter zone. To provide accurate information for risk management
of the insurance policy, premium determination, or both, the first
yield per land unit is measured by at least one of a mass sensor
28, a weight sensor 28, flow sensor 28, a moisture sensor 28, a
piezoelectric transducer, a grain flow sensor 28, a grain moisture
sensor 28, a ground speed sensor 28, a header position switch, an
impact force sensor 28, a plate displacement sensor 28, a volume
measurement device, a load cell system, a radiometric system, and
a capacitance sensor 28. In one configuration, a sensor 28 detects
the first yield per land unit at one of a harvester and a combine;
and a transmitter associated with the sensor 28 transmits the first
yield per land unit to a data processing system 10 via an electromagnetic
signal. The electromagnetic signal may be encrypted or transmitted
via a spread spectrum signal for security.
[0085] The ancillary terms and conditions of the crop insurance
policy may require the grower to establish or have established a
test strip and at least one check strip associated with the test
strip a the field. The ancillary terms and conditions include identifying
different zones in the field based on at least one of soil properties
and previously grown crops and associating a test strip with each
identified different zone. The zones are based on a crop history
for the zone, a crop input history for the zone, a historic nutrient
exposure of the zone, and a nutrient mobility rating associated
with the zone, and a hydraulic mobility rating associated with the
zone, and an irrigated zone versus a non-irrigated zone.
[0086] With respect certain configurations of BMP or other crop
insurance or crop endorsements, a test strip is established in the
field. At least one check strip is associated with or adjoins the
test strip a the field. With respect to other configurations of
BMP or crop insurance or endorsements, multiple test strips are
positioned in the field based on soil zones that are most representative
of the entire field. A soil survey may be used to identify different
zones in the field based on at least one of soil properties and
previously grown crops; a test strip being associated with each
identified different zone.
[0087] Soil surveys may be commercially available, available through
university studies, state sponsored studies, the Department of Agriculture,
National Resource Conservation service, governmental studies, or
studies may be commissioned by growers. Soil surveys may be expressed
as maps or data on soil properties or soil types. Growers may complete
soil sampling or soil testing regularly or periodically to determine
or estimate soil properties or soil types. Soil properties include
organic matter content, texture, structure, density, porosity, cation
exchange capacity, topography, slope drainage, soil depth, compaction,
and pH. A soil type may be defined by different combinations of
soil properties, wherein each soil property is associated with a
corresponding value range. The cation exchange capacity is a measure
of nutrient availability and refers to the total quantity of negatively
charged particles in the soil that are available to attract positively
charged particles (e.g., cations).
[0088] In one embodiment, the zones are based on one or more of
the following: a crop history for the zone, a crop input history
for the zone, a historic nutrient exposure of the zone, and a nutrient
mobility rating associated with the zone, and a hydraulic mobility
rating associated with the zone, and an irrigated zone versus a
non-irrigated zone. In another embodiment, the zones are based on
soil types, soil properties and corresponding values or ranges of
values, or all of the foregoing items.
[0089] Having described the preferred embodiment, it will become
apparent that various modifications can be made without departing
from the scope of the invention as defined in the accompanying claims.
Assignment
[0090] The entire right, title and interest in and to this application
and all subject matter disclosed and/or claimed therein, including
any and all divisions, continuations, reissues, etc., thereof are,
effective as of the date of execution of this application, assigned,
transferred, sold and set over by the applicant(s) named herein
to Deere & Company, a Delaware corporation having offices at
Moline, Ill. 61265, U.S.A., together with all rights to file, and
to claim priorities in connection with, corresponding patent applications
in any and all foreign countries in the name of Deere & Company
or otherwise.
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