Livestock Insurance Newsletter
We offer three products to protect your milk, cattle and swine against price decline. The premium rates on livestock insurance are subsidized, making them very affordable.
1. Livestock Risk Protection (LRP)
- Protects fed cattle, feeder cattle, and swine against price declines
- Expected values of the livestock/milk are determined by the CME futures prices
- Length of insurance period from 13-52 weeks, beginning on the day of sale. Animals must be marketed within 60 days of the end of insurance period. Can insure unborn livestock as long as the animals are born within the covered period.
- Coverage levels range from 70-100% of the expected ending value (future market price)
- Choose the number of head and target weight
- Feeder cattle also offered selection of type by weights – steer, heifer, predominantly brahman, and predominantly dairy
2. Dairy Revenue Protection (DRP)
- Provides protection against an unexpected decline in revenue
- DRP milk values are Market Based, not determined by the producer’s milk check
- Coverage is in quarterly (3 month) increments
- Price can be based on Class III, IV, or component values
- Coverage levels range from 80-95% of expected futures price
- Choose the amount of production, in pounds, that you would like to cover
- Can combine with FSA’s Dairy Margin Coverage
3. Livestock Gross Margin (LGM)
- Provides protection against the loss of gross margin between commodity price and feed costs
- Expected values of the livestock/milk are determined by the futures prices
Contact our agency to set up a meeting with our livestock specialists. We will work with you to understand your marketing plan and select the best options for your operation.
*Premium rates, coverage prices and actual ending values update daily with the market changes.
*Coverage is available for purchase daily, with some exceptions.
*Actual values are not based on producer’s contract settlement prices. They are based off CME, NASS, and/or AMS data.
*These policies do not cover any other peril except change in price.
