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Kentucky | Please correct me if I am wrong... if you are a 3 crop row cropper: corn/wheat/beans and you are located in an area where 13-16 have been some of the best years of your farming career then the yield advantage alone could in itself reach up to a 10% increase over MPCI.
WFRP is subsidized at 80% all the way through 75% coverage. MPCI stops at 70% if memory serves me correctly. So for the guys that stop at 75% you are winning already. The 80-85% is also more highly subsidized than the MPCI counterpart.
If your taxes show some moderate growth from 11-16 I have seen it kick out some pretty decent indexed values and not even have to use the "up to 35%" expansion factor. It uses the lower of your historic revenue and expected revenue so taxes make a huge difference!
I like the product because guaranteed bushels don't mean a thing if basis goes horribly wrong and that's where this product can shine.
Also, why buy 75% underlying RP coverage? The subsidies kick in at the max level as soon as your MPCI liability reaches 50% of your expected revenue.
Feel free to message me if you have questions. | |
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Whole Farm Revenue Insurance Policy?
