WHEN YOUR FIELD OF DREAMS TURN TO DUST.
CROP INSURANCE CAN HELP.

In times of volatile pricing and unpredictable weather patterns, managing your risk with crop insurance is an integral part of your success.

Recent years have brought devastating droughts, record-breaking heat waves, unseasonable snowfall and unforeseen natural disasters. These kinds of conditions make crop insurance absolutely critical.

No matter what you grow or where you grow it, the best defense against revenue loss is a good offense. With coverage on more than 120 crops, Spartan Insurance is a superior resource for protecting your valuable ag investments at every level, in every circumstance, every year.

 

Yield Protection (YP)

Gives you protection against loss in yield due to nearly all natural disasters, including drought, excess moisture, cold and frost, hail, wind, flood, frost and unavoidable damage from insects and disease. You select the amount of average yield to insure, between 50% and 75% (and in some areas, up to 85%). A projected price, based on daily settlement prices for certain futures contracts, is used to determine the insurance coverage. Then you select the percent of the projected price you want to insure, between 55% and 100%. YP insurance guarantee a yield based on your production history. If your harvest yield is less than the yield guarantee, you receive an indemnity payment.

Revenue Protection (RP)

Provides protection against yield losses due to natural causes such as drought, excessive moisture, hail, wind, frost, insects and disease. It also protects you against revenue losses caused by harvest price declines or increases from projected price. You select the amount of average yield you want to insure, between 50% and 75% (up to 85% in some areas). The amount of insurance is based upon either the harvest or the projected price, depending upon which is greater. If the harvested yield and appraised production, multiplied by the harvest price, is less than the protected revenue amount, you receive the difference in an indemnity payment.

Catastrophic Insurance (CAT)

The CAT endorsement can be attached to APH, Yield Protection and GRP. The CAT coverage premium is paid by the Federal Government, but for a $300 fee (per crop, per county) you can buy the minimum insurance coverage, which pays 55% of the FCIC-established prices, for a loss greater than 50% of your average yield. When the CAT Endorsement is attached to a Group Risk Plan, coverage is based on 65% coverage level, at 45% of the FCIC-established prices.

Not available on the Revenue Protection Plans.

Crop Hail (CH)

A full line of hail insurance products – including production hail – are available for protection against specific weather-related losses, fire, vandalism and first point of destination accidents.

Area Risk Protection (ARPI)

These plans provide coverage based on the experiences of an entire area, or county. It protects against loss of revenue due to decreases in production, price or both – when these decreases are experienced countywide. ARPI replaces the Group Risk Plan (GRP) and the
Group Risk Income Protection Plan (GRIP) in 2014 and succeeding crop years. To determine loss, ARPI uses the county yield indexes, combined with FCIC-established prices. You choose your preferred “trigger” estimates for yield, price, or both. When countywide figures fall below your trigger, an indemnity is paid. ARPI advantages include less paperwork and lower costs, but your individual crops are only covered against yield and profit if the rest of your county suffered similar losses. If your yields and revenues typically follow your county’s averages, then ARPI is a good choice.

Pricing Tools

Spartan Insurance offers a variety of pricing options that enhance your ability to increase your revenue guarantee. These are supplemental pricing tools that are purchased on-top of your traditional multi-peril crop insurance policy. These are very specific policies that should be discussed one-on-one with your Spartan Insurance agent.

EWeather Risk

Weather tools are becoming more important in the grower’s risk management tool box. Spartan Insurance offers a number of heat, water and growing degree day weather hedges to help supplement the federal crop policies through our alliance with eWeather Risk. There is no sales closing dates and these are uniquely tailored to individual growers. Meet with your Spartan Insurance agent for more details.