How Revenue Protection (RP) and Yield Protection (YP) Work
Revenue Protection (RP)
Revenue Protection (RP) coverage provides protection against production loss or price decline, or a combination of both. A guarantee is based on the higher of the Projected (Spring) Price or Harvest (Fall) Price.
Revenue Protection with Harvest Price Exclusion (RP-HPE)
Revenue loss protection at spring price. Provides the same initial revenue guarantee as RP. This revenue guarantee is based on the spring price only, so as a fixed revenue guarantee, when the harvest price goes higher, less bushels are protected. No Bushel Guarantee.
Yield Protection (YP)
Yield Protection (YP) coverage is a plan of insurance that only provides protection against a production loss and is available only for crops for which revenue protection is available. Yield Protection will make payments when yields fall below a yield guarantee. Losses are paid at the projected (spring) price.
- RP can be purchased without Harvest Price protection to reduce premium.
- Both RP and YP provide replant expense reimbursement protection, and prevented planting protection.
- Exceptions - No replant protection on fall wheat. Also no replant protection for any crops with CAT level YP.
- Unit Choices:
- YP - optional, basic, and enterprise
- RP - optional, basic, and enterprise
- Coverage Levels:
- 50 to 85% of average yield on corn, soybeans, and grain sorghum
- 50 to 75% for wheat
- CAT level also available with YP on all crops