Rowland Hoskins is our licensed insurance agent. If you are looking for a new agent or questions regarding what we have to offer, please call Rowland at 1-800-832-1488 or 765-339-4909.

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Crop Insurance Tidbits -

Figuring Insurance Payments

“Do I have a crop insurance payment coming?”  I’ll tell you how to figure the answer to that question. 

CRC and RA use the same averages for soybeans. The base guarantee for the spring price is based on the November CBOT average price for February, which was $5.26 this year. The fall price for beans is the November average during the month of October. That average for this year is $7.32. In order to get the fall price on an RA policy, you must have purchased the Harvest Price Option (HPO). CRC policies have the HPO built in. 

Your base guarantee is established by taking the spring price times your APH yield times coverage level purchased. A 50 APH with 70% coverage equals a 35-bushel guarantee times $5.26. Your minimum guarantee is then $184.10 per acre. Since the fall average is higher this year, you then take your 35 bushels times the fall price to establish your higher guarantee level of $256.20 per acre. You then take your actual yield times the $7.32. If your result is less than the higher guarantee, you have the difference between the two figures coming as a payment.

If you have any questions, call me at 1-800-832-1488.

Figuring Yield Adjustments

Yield Adjustment Option: If you have the “yield adjustment” option in your policy, it allows you to replace low yields of insured crops with a yield equal to 60% of your County “T” Yield.

Example:

County T Yield = 45 bu. beans

Actual Yield due to weather problems = 18 bu. beans

60% of County T Yield equals 27 bushels [45 bu. x 60%]

In this example the yield is less; therefore, replace the 18 bushels Actual Yield with 27 bu. for APH purposes.

NOTE: The premium is based on Actual Yield, NOT Replacement Yield.