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Area Revenue Protection (ARP)

Area Revenue Protection that covers against loss of revenue due to a county level production loss, price decline, or combination of both, and includes upside harvest price protection.

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Benefits of ARP

Coverage type: Area revenue

Insures against: County-wide revenue loss

Administrative fee: $30, No CAT available

Coverage levels: 70% to 90%

Guarantee: Policy protection = dollar amount of insurance per acre x acres x share

How ARP Works

ARP is similar to the RP plan as the initial guarantee is calculated using the projected price, but the revenue guarantee will increase if the harvest price is greater than the projected price. If the harvest price is lower than the projected price, the policy guarantee remains the same. A loss occurs when the Final County Revenue falls below the Expected County Revenue (or Trigger) Guarantee.

How is an Area Revenue Protection indemnity calculated?

In the event of loss or damage covered by a Area Revenue Protection policy, the claim will be settled by the procedures found in the appropriate policy provisions. For example purposes, an indemnity will be owed if: the final county revenue is less than the trigger revenue (expected county yield x the greater of projected or harvest price
x coverage level).

Learn more with our Crop Insurance Comparison guide
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Pro Ag Management, Inc.* (collectively with its corporate affiliates, “ProAg®”) is a managing general agency representing several risk bearing insurance companies, including Producers Agriculture Insurance Company and U.S. Specialty Insurance Company and doing business as Pro Ag Insurance Services, Inc. in California, CA Entity License #0F34212. The insurance products described on this website may not be a complete list of all products offered and may not be offered in all states. The provided information does not amend, or otherwise affect, the terms and conditions of any insurance policy issued by ProAg or any of its subsidiaries; always refer to the policy provisions.  Actual coverages will vary based on the terms and conditions of the policy issued.