Crop Insurance Minute

Jul 26, 2019

  In Kansas, Projected Price (PP) for wheat was set last year at $5.74.  This is based on the average July 19 KCBT daily ending price from 8/15/18 – 9/14/18.  The end of June saw the harvest price, using a daily average July 19 bid, set at $4.63.  For those using Revenue Protection (RP) or a similar revenue product this means that you could have a loss with almost 24% more yield than what was originally needed.  For example, 50bu APH at 75% coverage would trigger a loss if yield was less than 37.5 bu/ac.  Once the harvest price is factored in a loss would be triggered if yields were less than 46.5 bu/ac.  This only works with revenue products.  Yield Protection (YP) and similar yield products will only use average production x coverage level.  

     Nebraska and Missouri’s beginning PP uses the same 8/15/18 – 9/14/18 trading period as Kansas to set their price but Nebraska used KCBT’s Sept 19 (PP= $5.84) and Missouri used CBOT’s Sept 19 (PP=$5.72) price.  Nebraska and Missouri use the same trading months to set their harvest price calculated through the month of July.  So far, Nebraska is averaging $4.43 and Missouri is averaging $5.06.   Both will result in losses triggered at higher yields than using just the PP.  Especially Nebraska.

Read More News

May 18, 2023
Last week, Ag Partners attended School Day at the K for the first time.
May 12, 2023
Ag Partners Cooperative, Inc., announced Adam Jefferis as the Vice President of Agronomy today.
Apr 27, 2023
Ag Partners Coop has presented the first round of fuel sales donations for 2023.