1. How Technological Advances are Impacting Risks on the Farm
Presented By:
Cheryl L. Koch
CPCU, CIC, ARM, AAI, AAM, AIM, AIS, ARP, API, AINS, ACSR, AFIS
Agency Management Resource Group

2. Along with New Technology Come New Risks
We will look at:
Drones
Precision Farming
Autonomous Vehicles and Robotics
Advanced Mechanization

3. Hands Free Barley
From planting to harvest – and everything in between – no human set foot on this 2-1/2 acre plot

4. THE DRONES ARE COMING… And coverage is up in the air!

5. WHAT IS A DRONE?
“An aircraft operated without the possibility of direct human intervention from within or on the aircraft.”
FAA Definition
By any other name
Unmanned aerial vehicle (UAV)
Unmanned aircraft system (UAS)
Unmanned vehicle system (UVS)
Unmanned
Remotely operated
Robotic

7. FAA REGULATIONS
As of January 2018, FAA data indicates there are more than 1,000,000 REGISTERED drones and CERTIFIED operators – 878,000 hobbyists and 122,000 businesses
FEDERAL DRONE REGISTRY (
Operational limitations
More than .55 lbs. and less than 55 lbs.
Maximum altitude of 400 feet
VLOS
Not over persons, in structures or inside vehicles
Daylight operations only
Remote Pilot in Command Certification and Responsibilities
Aircraft Requirements
Model Aircraft Exemption
This Photo by Unknown Author is licensed under CC BY-NC-ND

8. DRONE COSTS VARY https://youtu.be/pHHGe9d8368 Fixed wing $10K to $25K
Multi-rotor $2K to $15K

9. COMMON USES IN AGRICULTURE
Monitor land and crops
Soil conditions and irrigation issues
Crop health and yield
Monitor livestock
Chemical application (pesticides, herbicides, fertilizer, etc.)
Monitor buildings, fencing, equipment and other farm property

10. LEGAL AND REGULATORY ISSUES
Have the ability to house high-powered cameras, infrared sensors, facial recognition technology and license plate readers
Privacy is a huge concern
Safety is important, but airworthiness is not required
Insurance likely will not be mandatory – at least for now

11. NDVI (Normalized Difference Vegetation Index)

12. WHAT WE KNOW – It’s Just a Tool
NDVI has been used since the early 1980s
The main value is variability – quick recognition=quicker decisions
An agronomist in the field still has value – “ground truthing”
Aerial imagery is one tool – but not the be all and end all

13. PROS AND CONS Analysis Monitoring Spraying Irrigation
Health assessment
Ease of deployment
Flight time and flight range
Initial cost of purchase
Federal laws and regulations
Interference with airspace
Connectivity
Weather dependence
Knowledge and skill

14. LEGAL AND REGULATORY ISSUES
Drone Aircraft Privacy and Transparency Act (2013)
Trespass
Nuisance
Invasion of privacy / harassment
Data collection / inadvertent eavesdropping

15. LEGAL AND REGULATORY ISSUES
Commercial operation of UAS requires an exemption based on
How and where used
What type of UAS
Pilot “certification”
Exterior lighting
Size and exterior markings
Onboard operator manuals (what?)
Other rules

16. LOSS EXPOSURES
Damage to the UAS from collision with ground or other aircraft
Injury to passengers of manned aircraft due to interference by UAS
Injury to people or property on the ground caused by UAS
Damage to property on which “operations” are being performed

17. INSURING UAS CGL Coverage A (BI and PD) Coverage B (PI and AI)
“Aircraft” exclusion may OR may not apply
Coverage B (PI and AI)
No “aircraft” exclusion
New endorsements
CG Exclusion Coverage A & B
CG Exclusion Coverage A
CG Exclusion Coverage B
CG Limited Coverage for Designated Unmanned Aircraft
CG Limited Coverage for Designated Unmanned Aircraft (Coverage A only)
CG Limited Coverage for Designated Unmanned Aircraft (Coverage B only)

18. INSURING UAS Commercial property (“business personal property”)
Aviation hull coverage
Aviation liability coverage
Special UAS policy
Physical damage, legal liability, products liability
About 25 insurers currently offering

19. INSURANCE CHALLENGES Aircraft / Aviation Personal Injury
Data Breach / Cyber
Property Insurance
Workers Compensation
Equipment Breakdown
Directors and Officers / Management Liability
War, Terrorism, Hijacking

20. (Some of it uses drones!)
PRECISION FARMING
(Some of it uses drones!)

21. What is Precision Farming?
A farm management concept based on observing, measuring and responding to inter- and intra-field variability in crops
Can take large fields (or a number of large fields) and manage them as though there were a group of smaller fields
AKA: Satellite Farming or Site Specific Crop Management (SSCM)

22. PRECISION AG TECHNOLOGIES
GPS Guidance and AutoSteer
Section Control on Sprayers
Row Control on Planters/Seeders
Yield Monitoring
Remote Sensing
In-field Sensing
LiDAR (Light Detection and Ranging)
Variable Rate Applications
Telematics
Robotics
Data Management

23. HOW IT HELPS
Allows the farmer to subdivide a large field into smaller management zones
Using smaller zones reduces waste while increasing production
Less application of fertilizers and other nutrients
Less (and more focused) application of pesticides, herbicides, etc.
More dense plantings – better utilization of available crop land
Better water application and management of available irrigation

24. HOW AND WHY IT HAS GROWN Been around for 20+ years Enabled by:
Crop yield monitors on GPS-equipped combines
Variable rate technology (VRT) such as seeders and sprayers
An array of real-time vehicle mountable sensors that measure everything from chlorophyll levels to plant water status
Multi- and hyperspectral aerial and satellite images from which products such as NDVI maps can be produced

25. HOW AND WHY IT HAS GROWN

26. The world population has DOUBLED in the last 47 years!
WHY USE PRECISION AG?
Reduce stress – make managing a farm’s output easier. Reduces potential for human error. Higher degree of knowledge of what’s going on in the field.
Assist in protecting the environment – better application of products, less waste, higher efficiency
Maximize profits – less waste, less labor, higher profit per acre
Better ability to meet increasing demands and shrinking agricultural footprint
The world population has DOUBLED in the last 47 years!

27. AN EXAMPLE Automatic Section Control (ASC) for Ag Sprayers
Eliminates overlap when applied in the field
Can turn sprayer nozzles ON and OFF in areas that have been previously sprayed, or at the ends of rows and other areas marked for non-application
Comes with currently manufactured equipment or as an after-market application

28. AUTONOMOUS, ROBOTICS AND MECHANIZATION

29. AUTONOMOUS VEHICLES, ROBOTICS AND MECHANIZATION - ADVANTAGES
Speed of work
Can work in any kind of condition
Temperature doesn’t bother the Bot
Doesn’t get bored easily
Work is accurate
Don’t require breaks
Costs are coming down

30. DISADVANTAGES Technology not fully evolved
Costs too high, but coming down
Sensors will need to be improved
Reliability will need to be proven
Human presence still required

31. LABOR COSTS AND AVAILABILITY
According to USDA:
Hired farmworkers make up less than 1 percent of all US wage and salary workers, but play an essential role in agriculture
Wages, salaries and contract labor expenses represent roughly 17% of total variable farm costs and as much as 40% of costs in labor-intensive crops such as fruit, vegetable and nursery products

38. Survey Says… 44% use field mapping 54% use yield monitor data
40% use variable rate fertilization
50% use GPS guidance
50% use grid soil sampling
23% use variable rate planting
44% conduct field experiments
39% use to address nitrogen

39. Autonomous vineyard tractor project to gather winegrowers’ requirements
                                                                                                                                                                                                                                                                                                            
New Holland Agriculture will partner with E. & J. Gallo Winery in a pilot project testing its NHDrive autonomous technology applied to T4.110F vineyard tractors. This collaborative pilot program is focused on gathering agronomic and operator feedback on the use of this technology in everyday vineyard activities, with the objective of delivering autonomous solutions that are driven by the real-world requirements of winegrowers.
Autonomous vineyard tractor project to gather winegrowers’ requirements
New Holland Agriculture will partner with E. & J. Gallo Winery in a pilot project testing its NHDrive autonomous technology applied to T4.110F vineyard tractors. This collaborative pilot program is focused on gathering agronomic and operator feedback on the use of this technology in everyday vineyard activities, with the objective of delivering autonomous solutions that are driven by the real-world requirements of winegrowers. February 19, 2018

40. Case IH pilot driverless tractors with Campbell Soup Company, Bolthouse Farms

42. So, are your customers using these new technologies?
You bet they are!