Centre county Pennsylvania, USA |
We are self insured. It's a risk-reward tradeoff. Risk is higher cost-of-production in years that have crop failure, reward is lower cost-of-production every year that doesn't have crop failure.
Probability of complete crop failure here in Central PA is 0.0 based on most recent 30 years of actual farm data. Probability of greater than 50% crop failure is about 0.05 based on most recent 30 years of actual farm data. |
Insurance cost per bushel survey?
