He says farm operators are better off to extinguish the fire themselves or get the help of a rural fire department than to let the crop burn and suffer with the lower APH. He says if the damage is small enough then the yield for the unit will be larger than the plug yield, so substitution in the APH will not be an issue.
Interestingly, Barnaby uses the fire loss as an example to make his frequent point that farmers with crop insurance losses are seldom made whole, in spite of the national press articles about excessive payments from crop insurance. He says few farmers would be better off without a crop.
A crop lost to fire is not covered by crop insurance, but only by a fire policy. The loss of a crop insurance unit to fire will be entered as zero in the APH; however a field with only a portion lost can be eligible for a “plug” yield. Fire is not covered because of the moral hazard issue.
Source: FarmGate blog