Posted 9/2/2014 12:23 (#4051848 - in reply to #4051707) Subject: RE: Crop insurance companies hedging.
central illinois
From what I have heard most crop insurers who try to hedge do so with investment quality banks in the secondary derivatives mkt (swaps). The bank tailors the product more closely to the insurance companies risk and the insurance co feels good about the counter parties credit rating. The bank may then hedge in futures or options or manage the risk in some other fashion.
Crop insurance companies hedging.
