The Department of Agriculture Tuesday announced changes to the Livestock Risk Protection insurance program for feeder cattle, fed cattle and swine starting this summer.
USDA’s Risk Management Agency (RMA) says changes include moving premium due dates to the end of the endorsement period and increasing premium subsidies to assist producers.
RMA Administrator Martin Barbre says the changes will “make these policies more usable and affordable for livestock producers.” Specifically, the changes allow premiums to be paid at the end of the endorsement period, putting it in line with other policies.
USDA will increase the premium subsidy for coverage levels above 80%. Those with an 80% or higher coverage level will get a five-percentage point subsidy increase. Producers may buy the insurance throughout the year from Approved Insurance Providers, with coverage prices ranging from 70% to 100% of the expected ending value of their animals. At the end of the insurance period, if the actual ending value is below the coverage price, producers will be paid an indemnity for the difference.
(From the National Association of Farm Broadcasters)