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An indemnity is trigged when the settlement price falls below the LRP coverage price. Logic Ag Marketing's team guides you through the process and is in communication much in advance of a potential claim. The insured will need to provide proof of ownership and sign a notice of loss to complete the claim. Our team insures they're beside you each step of the way to expedite the claim process.

Before purchasing Livestock Risk Protection insurance, it's best to consulate with an agent here at Logic Ag Marketing. Ten different coverage levels exist for each time frame and have varying levels of subsidy. There are several factors to consider when selecting a coverage level for your livestock which include but aren't limited to: basis risk, seasonal cash market trends, local cash market strength, cost of placed cattle, and feed costs.

The beauty of Livestock Risk Protection insurance is that it can be a nice addition to your existing risk management plan. LRP works well in conjunction with packer contracts, futures sales, and various options strategies. Once purchased, LRP gives you the flexibility to delay making a final marketing decision as you have the peace of mind of being protected by LRP.

Livestock Risk Protection insurance is different from other forms of livestock insurance as it's a government subsidized product to cover strictly against a decline in price. LRP does not cover death loss or production issues as some other insurances may. Livestock Gross Margin (LGM) is another government subsidized insurance but exists to cover the livestock "crush."

Livestock Risk Protection insurance specifically covers the risk of a drop in hog or cattle prices. Once a coverage price is chosen, LRP will protect a market decline below the coverage price.

Both Livestock Risk Protection insurance and Livestock Gross Margin insurance are government subsidized products intended to protect a producers market risk. LGM insurance takes into consideration many more factors such as animal input cost, feed cost, and expected sales price and provides protection on the anticipated margin. LRP insurance only protects against a decline in price. Agents at Logic Ag Marketing are dually licensed and often check to ensure the viability of one product verse another.

Livestock Risk Protection insurance helps to mitigate financial losses in cattle and hog production by providing a marketing "floor" for their prices. Producers pick a coverage price that works for their operation after consulting with their LRP agent. If the settlement price drops below their coverage price, they will be redeemed back to their purchased coverage price.

It's advisable for producers to consider selecting coverage levels close to their break-even points whenever possible. Optimal levels of insurance coverage through crop insurance can significantly impact the outcome of a farming year, potentially distinguishing between profitability and adversity. It's worth noting that higher coverage levels offer increased protection for producers.

Premiums are determined by the price of the selected crop, the volatility factor, and several different inputs from a farmer's yield and variance history. The higher the price set by crop insurance during the discovery period, the higher the premium. More volatile crop prices during the discovery period lead to higher premiums due to price uncertainty. Generally, higher producer yields increase coverage and premium, along with the selection of different products with MPCI coverage.

Revenue Protection is the product you would need to select to cover such losses. It's the most widely used product in crop insurance. However, it does not insure for change in inputs. Margin Protection is a great product to help make up for the increases in inputs along with declines in prices. Inputs included in margin protection are UREA, DAP, POT, interest, and diesel. Any increase in those prices during discovery periods are reflected in the margin protection policy.

The multi-peril insurance policy provides coverage up to 85% of your APH multiplied by the price. For higher coverage options, consider county programs like ECO (Enhanced Coverage Option) and Margin Protection, which allows coverage up to 95%. Additionally, exploring private insurance products can offer further protection for both price and yield. Keep in mind that insurance limits may vary among different crop insurance products.

Crop insurance is an essential tool for producers when managing risks. It offers guarantees for sales and boosts confidence in using hedging strategies for their crops. Knowing you have crop insurance backing gives peace of mind in dealing with uncertainties.

Yes. The Grain Basis software platform is available for you 24/7 to login and view your current sales, break evens, or to stress test your current market position. You can even create new scenarios to call and discuss with your cash grain advisor.

The Grain Basis software will take all the various information that you have and put it into one central location. Your costs along with open orders and made sales will be in the software regardless of their selling location.

Your cash marketing advisor can work with any broker of your choosing to discuss your grain marketing strategy.

Our cash grain advisors are here to be an asset to your operation. We will ensure that all appropriate inputs and costs are considered. If you don't know all of your costs, that's OK, we have experience with "standard costs" or can help you to arrive at the appropriate figures.

Your cash grain advisor would be happy to discuss your marketing plan with your lender if necessary. The Grain Basis software prints out organized, easy to read reports that are easily shared with your lender as well.