Final answer:
Crop insurance, if available, is required when an EM loan is secured by crops for crop production losses from a natural disaster.
Step-by-step explanation:
When an EM loan is secured by crops, crop insurance is required if available. Crop insurance protects farmers against crop losses due to natural disasters such as drought, excessive moisture, hail, wind, frost, and flood. It helps farmers recover the value of the lost crop and provides financial stability.
While hazard insurance and flood insurance are important for protecting physical assets like buildings and structures, they are not directly related to crop production losses. Therefore, the correct answer is option a. Crop insurance, if available.
If the applicant executes a waiver, it means they choose not to have any insurance coverage for crop production losses from natural disasters. However, this option does not meet the requirement of securing the EM loan with crops.