Pasture, Rangeland, and Forage (PRF) Insurance is highly customizable protection against drought. Payments, based on number and type (pasture or hay) of acres insured, are triggered when precipitation during a specific time period for a specific area falls below historic average. No record keeping is necessary and no adjustors are involved because precipitation and historic averages are determined by the National Oceanic and Atmospheric Administration (NOAA). You choose the time periods (two-month intervals throughout the year) as well as the percentage of historic average precipitation to insure. The USDA's Risk Management Agency, which sets PRF rules and prices across the nation, subsidizes premium amounts by up to 59%, making this tool a smart investment for most ranches. EastCo Group conducts a custom analysis for each property, providing valuable historic rainfall and payout data culminating in advice based on individual risk tolerance and goals.
Click HERE to view our PRF Information Sheet.
Livestock Risk Protection (LRP) protects livestock producers against a decline in national market prices. LRP works similarly to put options giving the insured the right, but not the obligation, to sell a specified amount of livestock at a specific price come a specific date. Coverage and premium levels are based off of the Chicago Mercantile Exchange (CME) and settlement prices are based off of national cash indexes. As with pasture insurance, livestock insurance is processed through the Risk Management Agency (RMA), and RMA subsidizes premiums up to 35%. EastCo Group assists clients to utilize LRP as part of their risk management strategy and help navigate the ups and downs of livestock markets. Please contact EastCo Group to learn more about how LRP can be used to protect against declining livestock prices.
Click HERE to view our LRP Information Sheet.
This information is intended for informational purposes only. Nothing contained herein can or should be interpreted to take precedence over policy language, Federal Crop Insurance Corporation/Risk Management Agency regulation, and Underwriting or Loss Adjustment rules.