ProAg is proud of its 90+ year heritage as a “crop-insurance-only” company and is committed to providing our agents and policyholders with excellent service and support for multi-peril insurance products.
- Fast and accurate claims service
- Financial strength
- Superior customer service
- Innovative technology
- Knowledgeable employees
- Specialty crop expertise
Multiple Peril Crop Insurance (MPCI)
Multiple Peril Crop Insurance (MPCI) is the general name given to crop coverage provided through the Federal Crop Insurance Corporation (FCIC). As the name suggests, these policies provide coverage to the ag producer for a number of naturally occurring perils.
MPCI policies provide coverage for loss of production. Products that combine yield and price coverage have been introduced in the last few years. These products cover loss in value due to a change in market price during the insurance period, in addition to the perils covered by the standard loss of yield coverage.
Individual plans are based upon the insured’s production and for some coverage, there is protection against a loss of revenue caused by price increase or decrease. The most common individual plans are Revenue Protection (RP) and Actual Production History (APH).
Area Plans insure against an area-wide usually county-wide loss of production on a crop. It is based on the concept that when an entire county’s crop yield is low, most producers in that county will also have low yields. National Agricultural Statistical Service (NASS) county data is used to set the expected and actual county yields.
Under an area plan, the insured chooses a percent of the expected county yield or revenue which is published by RMA in the actuarial documents. If the actual county yield or revenue falls below the expected county yield, a loss occurs regardless of the farm-specific production.
Whole-Farm Revenue Protection (WFRP)
WFRP provides a risk management safety net for revenues from all commodities on the farm under one insurance policy. This insurance plan is tailored for any farm with up to $8.5 million in insured revenue, including farms with specialty or organic commodities (both crops and livestock), or those marketing to local, regional, farm-identity preserved, specialty or direct markets.
WFRP is available in all counties in all 50 states. You can buy WFRP alone or with other buy-up level Federal crop insurance policies. When you buy WFRP with another policy, the WFRP premium is reduced due to the coverage provided by the other policy. If you have other Federal crop insurance policies at catastrophic coverage levels, you do not quality for WFRP.
Rainfall Index Policies
Rainfall Index crop insurance policies include Pasture, Rangeland and Forage (PRF), Annual Forage (AF), and Apiculture (API) plans. Rainfall Index plans are considered to be group policies, meaning individual losses are not covered. The index associated with your crop and grid determines your indemnity. Rainfall indices use weather data from National Oceanic and Atmospheric Administration’s (NOAA) Climate Prediction Center.
- Pasture, Rangeland, Forage (PRF)
The PRF Pilot Insurance Program is designed to provide insurance coverage on your pasture, rangeland or forage acres. PRF is an area-based plan of insurance that uses a rainfall index to determine losses and trigger indemnities.
- Annual Forage Pilot
The Annual Forage Pilot Program provides coverage to acreage that is planted each year and used as feed and fodder by livestock. This pilot program utilizes the Rainfall Index to correlate to this annually planted acreage. The Annual Forage pilot program is available only in a select number of states and counties.
- Apiculture Pilot
The Apiculture Pilot Insurance Program provides a safety net for beekeepers’ primary income sources – honey, pollen collection, wax and breeding stock. The Apiculture Rainfall Index uses the same basic provisions as the Pasture, Rangeland, Forage pilot program.
Margin Protection Plan (MPP)
Margin Protection provides coverage against an unexpected decrease in operating margin (revenue less input costs). Margin Protection is area-based, using county-level estimates of average revenue and input costs to establish the amount of coverage and indemnity payments. Because Margin Protection is area-based (average for a county), it may not reflect your individual experience.
Margin Protection takes into considerations changes in crop prices, reductions of yields and changes in the prices of inputs used to grow the crop.
Margin Protection is available in select counties for corn, rice, soybeans, and wheat in the states listed below:
- Rice – Arkansas, California, Louisiana, Mississippi, Missouri and Texas
- Corn and Soybeans – Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota and Wisconsin
- Wheat – Minnesota, Montana, North Dakota and South Dakota
Federal Livestock Program
The Livestock program includes three separate plans:
- Livestock Risk Protection (LRP)
- Livestock Gross Margin (LGM)
- Dairy Revenue Protection (Dairy-RP)
While these plans are under the Federal Livestock Program, they are different. Very simply stated, LGM insures against a loss of gross margin, or the value of the livestock/milk minus the cost of feed/feeders. LRP insures against a decline in price during the insurance period. Dairy-RP insures against unexpected declines in quarterly milk sales.
Nursery Crop Insurance
Nursery crop insurance is available in all states to all persons operating nurseries that meet certain criteria. Insurance coverage applies, by practice (field-grown or container), to all of your nursery plants in a county that:
- Are on the eligible plant list
- Are grown in a nursery that receives at least 50 percent of its gross income from the wholesale marketing of nursery plants
- Meet all the requirements for insurability
- Are grown in an appropriate medium
Ask your trusted, professional ProAg agent for more information. Come experience the ProAg difference today.