Revenue Protection (RP) and Revenue Protection with Harvest Price Exclusion (RPHPE) are multi-peril crop insurance products that are based on the Commodity Exchange Price Provisions (CEPP) prices and protects against production loss, price decline or increase, or a combination of both. To determine the loss guarantee, RP will use the greater of the Projected or Harvest Price. RPHPE insures in the same way as RP, but uses only the Projected Price to determine the loss guarantee.

 

 

How Does It Work?

 

•  Establishes a minimum guarantee of revenue per acre

 

•  May select coverage with or without Harvest Price Exclusion

 

•  To determine the Revenue Guarantee, RP will use the greater of the Projected Price or Harvest Price.

   RPHPE will use only the Projected Price

 

•  For both plans, the indemnity payment is determined using the Harvest Price

 

•  If revenue to count is less than final Revenue Guarantee, an indemnity is paid

 

 

Coverage Level

 

RP/RPHPE allows the producer to select a coverage level ranging from 50% up to 85% in 5% increments.

 

 

Benefits

 

•  Protects against revenue loss caused by low yields and/or low prices

 

•  Flexible and efficient management tool to crop producers

 

•  Subsidized by the Federal Crop Insurance Corporation (FCIC)

 

•  The Harvest Price is limited to 200% of the Projected Price

 

•  Coverage on basic, optional, enterprise, and whole-farm units

 

•  Discounts for producers that insure multiple crops on whole-farm units

 

•  Premium amount is determined using the Projected Price. The premium will not increase even if the

   Harvest Price is higher than the Projected Price

 

 

Additional Coverages

 

Late Planting Coverage:

May provide additional time to plant crops when conditions prevent timely planting.

 

Prevented Planting:

May allow for payments when insurable causes of loss prevent you from planting your crops.

 

Replant Provisions:

May provide an additional payment for the extra expenses involved when it is practical to replant and the acreage qualifies