Crop Insurance

MPCI provides comprehensive protection against weather-related causes of loss and certain other unavoidable perils. Coverage is available on over 76 crops in primary production areas throughout the U.S. at 50 to 75 percent (up to 85 percent in certain countries) of the actual production history (APH) for the farm. An indemnity price election from 60 to 100 percent of the Federal Crop Insurance Corporation expected market price is selected a the time of purchase. MPCI coverage provides protection against low yields, poor quality, late planting, replanting costs and prevented plating (coverages vary based upon geographical location and crop). An MPCI policy is now known as an APH policy  also. Crops include: corn, cotton, grain sorghum, rice, soybeans and wheat.

RP is available for: Corn, Cotton, Grain Sorghum, Rice and Wheat.

RPC provides comprehensive protection against weather-related causes of loss and certain other unavoidable perils as well as providing protection from fluctuation in commodity prices. Coverage is available on numerous crops in primary production areas throughout the U.S. at 50 to 75 percent (up to 85 percent in certain counties) of the revenue guarantee for the farm.

Crop hail insurance provides a variety of products to add additional coverage to your farm. Crop Hail is basically a separate, add-on policy that protects your crop from the damages of a hail storm over and above your normal MPCI or RPC policy.

Yield adjustment is used to erase very poor yields from your APH. If you have the YA option any yield in your database that is less than 60% of the county average is replaced with a number equal to 60% of the county average, which increases your APH.

 In the event of a preventive planting claim PP+ increases your preventive planting payment by 5-10%.

Actuarial changes pertain to circumstances when an insured must get approval from RMA to get insurance. For example, for New Breaking land, the limit is 320 acres UNLESS you apply for an Actuarial Change through RMA. Another example would be getting insurance for a crop that is typically not insured  in a particular county.

 Livestock Gross Margin (LGM) for Cattle Insurance Policy provides protection against the loss of gross margin (market value of livestock minus feeder cattle and feed costs) on feeder (yearling and calf) cattle. LGM covers the difference between the gross margin guarantee and the actual gross margin at the end of the 11-month insurance period. LGM does not insure against death, loss or any other loss or damage to the producer's cattle. 

 Livestock Revenue Protection (LRP) provides revenue protection from a price decline during the policy coverage period. The protection from low prices is based on the Agricultural Marketing Service Five Area Weekly Weighted Average Direct Slaughter Cattle Report and CME Live Cattle Futures. The policy does not protect against other perils such as mortality, disease, or any other cause of loss. 

Livestock producers may purchase insurance protection for losses of forage produced for grazing or harvested for hay. The insurance programs are based on a rainfall index. The rainfall index programs are based on protecting the income potential of an insured plot. Producers are not required to insure all their acres. They may elect to insure only those acres that are important to their grazing program or hay operation and do not have to insure the acreage for the entire crop year. The crop year is divided into 2-month intervals. Producers may elect to insure their acreage only for those intervals when the
risk of low rainfall is the greatest.