Crop Insurance Plans

Why Crop Insurance? - Combines

Yield Protection

Yield Protection insures producers against yield losses due to natural causes such as drought, excessive moisture, hail, wind, frost, insects, and disease. The farmer selects the amount of average yield he or she wishes to insure from 50 to 85 percent. The farmer also selects the percent of the predicted price he or she wants to insure between 55 and 100 per cent. The projected price is determined in accordance with the Commodity Exchange Price Provisions and is based on daily settlement prices for certain futures contracts. If the harvested plus any appraised production is less than the yield insured, the farmer is paid an indemnity based on the difference. Indemnities are calculated by multiplying this difference by the insured percentage of the projected price selected when crop insurance was purchased and by the insured share.

Revenue Protection 

Revenue Protection insures producers against yield losses due to natural causes such as drought, excessive moisture, hail, wind, frost, insects, and disease and revenue losses caused by a change in the harvest price from the projected price. The farmer selects the amount of average yield he or she wishes to insure from 50 to 85 per cent. The projected price and the harvest price are 100 per cent of the amounts determined in accordance with the Commodity Exchange Price Provisions and are based on daily settlement prices for certain futures contracts. The amount of insurance protection is based on the greater of the projected price or the harvest price. If the harvested plus any appraised production multiplied by the harvest price is less than the amount of insurance protection, the farmer is paid an indemnity based on the difference.

Revenue Protection with Harvest Price Exclusion

Revenue Protection with Harvest Price Exclusion insures farmers in the same manner as Revenue Protection, except the amount of insurance protection is based on the projected price only (the amount of insurance protection is not increased if the harvest price is greater than the projected price). If the harvested plus any appraised production multiplied by harvest price is less than the amount of insurance protection, the farmer is paid an indemnity based on the difference.

Adjusted Gross Revenue

Adjusted Gross Revenue insures revenue of the entire farm rather than an individual crop by guaranteeing a percentage of average gross farm revenue, including a small amount of livestock revenue. The plan uses information from a producer’s Schedule F tax forms, and current year expected farm revenue to calculate policy revenue guarantee. Under this plan, you can also cover revenue generated from commodities that are currently uninsurable (such as forage, fruit, and vegetable crops).

Adjusted Gross Revenue – Lite

Adjusted Gross Revenue – Lite insures whole farm revenue protection against low revenue due to unavoidable disasters and market fluctuations. AGR-Lite can stand alone or be used in conjunction with other Federal Crop Insurance plans (except AGR). Under this plan, you can also cover revenue generated from commodities that are currently uninsurable (such as forage, fruit, and vegetable crops).

Fire & Hail

Fire and Hail provides farmers protection against any yield reduction caused by fire and /or hail. Crop-Hail insurance gives you acre-by-acre protection that can be up to the full value of the crop.  Hail is the one catastrophe that is most likely to destroy a part of your crop and leave the rest looking fine.  The part hail takes out may well be less than the deductible of your MPCI policy.  Even if your frequency of hail damage is low, remember that Crop Hail coverage is rated in your area.  It is an inexpensive way for some extra protection for your crop.

Interested?

Contact King Crop Insurance today and start protecting yourself, your interests, and your family.