STANDARD REINSURANCE AGREEMENT.

SEC. 201. STANDARD REINSURANCE AGREEMENT. Section 508(k)(8) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)(8)) is amended— (1) in subparagraph (A), in the matter preceding clause (i), by striking “may renegotiate” and all that follows through the end of clause (ii) and inserting the following:“shall renegotiate the financial terms and conditions of each Standard Reinsurance Agreement— “(i) not later than December 31, 2016; and “(ii) not less than once during each period of 5 reinsurance years thereafter.” ; and (2) by striking subparagraph (E) and inserting the following: “(E) Cap on overall rate of return.—Notwithstanding subparagraph (F), the Board shall ensure that the Standard Reinsurance Agreement renegotiated under subparagraph (A)(i) establishes a target rate of return for the approved insurance providers, taken as a whole, that does not exceed 8.9 percent of retained premium for each of the 2017 through 2026 reinsurance years.” .