Posted 9/2/2010 08:31 (#1343176 - in reply to #1343163) Subject: RE: Crop Insurance Question - Is this simple math right?
nc ks
His 85% guarantee is 170 bushels. If he has RA with HPO he will collect insurance payment if his yield goes below 170 no matter what the harvest price does. If the harvest price goes down, he will collect insurance at an even higher yield than 170, but he will never have his yield guarantee go below 170.
If the harvest price goes up, you are guaranteed more dollars.
If the harvest price goes down, you are guaranteed more bushels.