Tennessee Grain Indemnity Fund

The Tennessee Grain Indemnity Fund was created by an act of the Tennessee General Assembly in 1989 to provide protection for grain producers against the financial failure of grain dealers and warehouses for the purpose of promoting "the state's welfare by improving the economic stability of agriculture."

Tennessee grain producers who suffer losses due to the failure of a grain dealer or warehouse are entitled to compensation from the fund.

Tennessee grain producers are eligible.

Any claimant who has incurred a financial loss due to a failure of a secured commodity dealer shall be entitled to be compensated for eighty-five percent (85%) of a valid claim, to a maximum of one hundred thousand dollars ($100,000), with moneys from the Tennessee grain indemnity fund subject to a maximum amount of three and one third (3 1/3) percent of the balance of the indemnity fund at the time of the failure.

Any claimant who has incurred a financial loss due to the failure of a warehouseman and who has surrendered a warehouse receipt for payment or holds a warehouse receipt and cannot receive value shall be compensated for one hundred percent (100%) of the claim subject to a maximum amount of three and one third (3 1/3) percent of the balance of the indemnity fund at the time of the failure.

Within ninety (90) days of the commissioner's approval of a valid claim, the department shall compensate from the Tennessee grain indemnity fund any claimant who has incurred a financial loss due to a failure of a commodity dealer or warehouseman. To the maximum extent that funds are or may be available for such purpose, the remaining balance of the claims shall be paid by the department from the assets and other security of the failed dealer.

Complete the Proof of Claim form below and contact Evan Boyd (evan.boyd@tn.gov) to submit it.

• Tennessee Commodity Dealer and Warehouse Law

• Commodity Dealer Rules

• Commodity Warehouse Rules