Greater Flexibility In Marketing Your Crops By Providing Added Protection From Fluctuating Prices
Price-Flex® is an insurance product that allows greater flexibility in marketing your crops by providing added protection from fluctuating commodity prices.
Price-Flex* allows the producer to choose alternative price discovery periods, including selecting periods before and after the period defined by the Commodity Exchange Price Provisions (CEPP). An alternative price discovery period may be longer (multiple months) or shorter (15 day) than those established by the CEPP. The highest projected price for these alternative price discovery periods is used to establish the revenue guarantee for loss purposes if that price exceeds the projected and harvest prices released by RMA.
The producer must first designate either the Revenue Protection (RP) or the Area Revenue Protection (ARP) insurance plan for the insured crop when the application for Price-Flex coverage is signed. While the producer will not be bound to this selection for their MPCI purchase later, Price-Flex will determine the coverage and benefits based on this initial choice.
- Price-Flex coverage applies at the enterprise unit level (EU) regardless of MPCI policy unit structure
- Growers must declare their intended acres for each crop at the time of sign-up
- Growers must insure all of their acres of a crop in a county with a minimum of at least 25 acres to insure under Price-Flex
- Grower must select at least one Alternative Price Discovery Period when the policy is purchased and may select additional periods until the RMA sales closing date of the applicable crop in their county.
- Failure to have an MPCI insurance policy in effect for the crop year will result in no indemnity under the Price-Flex program.
Price-Flex is available for corn, cotton, soybeans, and wheat in all counties where there are either ARP or RP offers for all sales closing dates for the 2017 Crop Year.
Example of Price-Flex Indemnity Calculation
Click here for a download of an Adobe PDF showing an example of a Price-Flex indemnity calculation.
See the How to Maximize Revenue Protection on Your Farm With Price Flex [Infographic] for more examples and highlights of the Price-Flex policy.
Contact Us for Complete Policy Details
See the policy provisions and/or contact your ProAg agent for a complete description of available coverages and their terms and conditions.
*Coverage is summarized. Refer to the actual policy for applicable terms, conditions, limits and exclusions. Price-Flex® is a registered trademark of Watts & Associates.