Multi Peril Crop insurance (MPCI) is subsidized, supported and regulated by the federal government, to protect against either the loss of their crops due to natural disasters, such as hail, drought, and floods, or the loss of revenue due to declines in the prices of agricultural commodities.
- There are many different options to adjust coverage and premiums to accommodate for your specific farming operation / needs.
- All MPCI policies cost and protect the same, regardless of which AIP (Approved Insurance Provider) the insurance is purchased through.
Revenue Protection
Revenue Protection provides protection for a loss of production, loss of revenue, or a combination of the two.
- Available in 50% – 85% levels in 5% increments
- Uses projected price to establish a minimum guarantee and to calculate the premium.
- The Harvest Price is used to recalculate the guarantee if it is greater than the projected price.
- Chicago Board of trade (CBOT) is used to establish prices for corn and soybeans.
- The Minneapolis Gran Exchange (MGE) is used to establish prices for wheat.
- Revenue price increases are limited to 200%, however, there is no limit to how much the price can decline.
- Much more effective risk management strategy as market price fluctuations are common and can have a major effect on a producer’s revenue.
Yield Protection
Yield Protection provides from loss of production. This is only available for crops with revenue protection option.
- Available in 50% – 85% levels in 5% increments.
- Always multiplies harvested bushels by the projected price (established in the Spring) to determine harvest revenue when determining indemnities.
- This plan simply ensures a % (coverage) of a producer’s Actual Production History (APH) yield and does not account for commodity price fluctuations.
Actual Production History (APH)
APH provides protection from loss of production for crops in which revenue protection is NOT available (Oats, Forage Production, Dry Beans, Sugar Beets, Sweet Corn, Green Peas).
- Available in 50% – 85% levels in 5% increments.
- Works like yield protection except it uses a price established by the RMA instead of the commodity exchange.
- Established price is released in the Actuarial no later than 15 days prior to Sales Closing Date.
Dairy Revenue Protection
Dairy Revenue Protection (DRP) provides protection against an unexpected decline in revenue (yield and/or price) on the milk produced from dairy cows.
This policy covers the difference between your final revenue guarantee and actual milk revenue during each quarter of the year (you choose the quarterly endorsement).
To find the current Dairy Prices, Production Information, and Estimates click on the Prices / Estimates button.
Pasture, Rangeland, Forage (PRF)
Pasture, Rangeland, Forage Insurance Coverage insures against widespread loss of production of the insured crop based on the experience of a grid rather than individual farm.
- Coverage is available for two crop types: Haying and Grazing.
- Losses are paid when the grid’s accumulated index, know as the final grid index, falls below the insured’s trigger grid index.
- Lack of precipitation is the only cause of loss covered by Rainfall Index (RI).
- Sales Closing date is December 1st.
This is not guaranteed to be a comprehensive list of all products available through Duane Jindra Crop Insurance Agency, L.L.C. Contact us for a personal consultation to determine what may be the best option for your operation and situation.