All Approved Insurance Providers All Risk Management Agency Field Offices All Other Interested Parties
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1 United States Department of Agriculture Farm Production and Conservation Risk Management Agency Beacon Facility Mail Stop 0801 P.O. Box Kansas City, MO February 15, 2018 INFORMATIONAL MEMORANDUM: PM TO: FROM: SUBJECT: All Approved Insurance Providers All Risk Management Agency Field Offices All Other Interested Parties Richard H. Flournoy Deputy Administrator 2018 Crop Year (CY) Common Crop Insurance Policy, Area Risk Protection Insurance and Margin Protection Plan s and s Common Crop Insurance Policy & Area Risk Protection Insurance 1 The 2018 CY projected prices shown below are approved for the following plans of insurance: Yield Protection, Area Yield Protection, Revenue Protection, Area Revenue Protection, Revenue Protection with Harvest Exclusion, and Area Revenue Protection with the Harvest Exclusion. The 2018 CY volatility factors shown below are approved for the following plans of insurance: Revenue Protection, Area Revenue Protection, Revenue Protection with Harvest Exclusion, and Area Revenue Protection with the Harvest Exclusion. The projected prices and volatility factors apply to policies with a February 28 sales closing date, unless otherwise indicated, and are applicable for the crops, types, practices and states indicated below: & South Carolina - & South Carolina Arkansas & Mississippi - Arkansas & Mississippi $3.82/bushel 0.14 $8.75/bushel 0.14 $3.91/bushel 0.14 $8.95/bushel s and s are applicable for the Supplemental Coverage Option (SCO). USDA is an Equal Opportunity Employer and Provider
2 Margin Protection Plan s and s...continued Common Crop Insurance Policy & Area Risk Protection Insurance Arizona, California & Nevada - Arizona, California & Nevada Cotton All States Cotton Cotton All States Cotton Grain Sorghum Alabama, Florida, Georgia & South Carolina Grain Sorghum Organic Practice Alabama, Florida, Georgia & South Carolina Grain Sorghum Arkansas, & Mississippi Grain Sorghum Organic Practice Arkansas, & Mississippi $3.91/bushel 0.14 $8.95/bushel 0.14 $3.91/bushel 0.15 $8.95/bushel 0.15 $0.75/pound 0.14 $1.15/pound 0.14 $3.78/bushel 0.13 $8.15/bushel 0.13 $3.78/bushel 0.14 $8.15/bushel s and s are applicable for the Supplemental Coverage Option (SCO) and Stacked Income Protection (STAX - cotton only).
3 Margin Protection Plan s and s...continued Common Crop Insurance Policy & Area Risk Protection Insurance 1 3 Grain Sorghum Arizona, California & Grain Sorghum Organic Practice Arizona, California & Peanuts Runner Type Alabama, Arkansas, Florida, Georgia,, Mississippi,, South Carolina Peanuts Spanish Type Alabama, Arkansas, Florida, Georgia,, Mississippi Peanuts Virginia Type Mississippi, & South Carolina Popcorn March 15 Sales Closing Date Alabama Popcorn March 15 Sales Closing Date Alabama / / / Wheat, Cotton, Soybean Oil & Soybean Meal Wheat, Cotton, Soybean Oil & Soybean Meal Wheat, Cotton, Soybean Oil & Soybean Meal $3.78/bushel 0.15 $8.15/bushel 0.15 $0.1961/pound 0.12 $0.2569/pound 0.12 $0.2216/pound 0.12 $0.1643/pound 0.14 $0.2365/pound s and s are applicable for the Supplemental Coverage Option (SCO).
4 Margin Protection Plan s and s...continued Common Crop Insurance Policy & Area Risk Protection Insurance 1,2,3 4 Long Grain Type 3 Long Grain Type; Medium/Short Grain Types Medium/Short Grain Types; Long Grain Type 3 Arkansas, Mississippi Long Grain Type; Arkansas, Mississippi Medium/Short Grain Types Arkansas, Mississippi Medium/Short Grain Types; Arkansas, Mississippi Long Grain Type California, Illinois, Missouri, Oklahoma Long Grain Type; California, Illinois, Missouri, Oklahoma $0.119/pound 0.11 $0.159/pound 0.11 $0.131/pound 0.11 $0.175/pound 0.11 $0.119/pound 0.12 $0.159/pound 0.12 $0.131/pound 0.12 $0.175/pound 0.12 $0.119/pound 0.13 $0.159/pound s and s are applicable for the Supplemental Coverage Option (SCO). 2 In accordance with the Commodity Exchange Provisions (CEPP), the rice contract is used to derive the projected rice prices since the November contract lacks sufficient volume and open interest activity. See the relevant CEPP document for details: 3 The long grain projected price (conventional practice) is used as the price election under the terms of the Hybrid Seed Crop Provisions:
5 Margin Protection Plan s and s Continued Common Crop Insurance Policy & Area Risk Protection Insurance 1,2 5 Medium/Short Grain Types 2 California Medium/Short Grain Types; California Medium/Short Grain Types Illinois, Missouri, Oklahoma Medium/Short Grain Types; Illinois, Missouri, Oklahoma Arkansas,, Mississippi - Arkansas,, Mississippi & South Carolina - & South Carolina November November January (2019) January (2019) $0.173/pound 0.13 $0.231/pound 0.13 $0.131/pound 0.13 $0.175/pound 0.13 $10.04/bushel 0.13 $20.25/bushel 0.13 $10.09/bushel 0.13 $20.35/bushel s and s are applicable the Supplemental Coverage Option (SCO). 2 In accordance with the Commodity Exchange Provisions (CEPP), the rice contract is used to derive the projected rice prices since the November contract lacks sufficient volume and open interest activity. See the relevant CEPP document for details:
6 Margin Protection Plan s and s Continued Margin Protection Plan The following 2018 CY margin projected prices and volatility factors are approved for the Margin Protection Plan. The margin projected price is used in conjunction with projected input prices and the expected county yield to derive the expected margin (per acre), trigger margin (per acre) and liability. The expected margins for each crop/county are available at the following web page on RMA s public website: Please see the following web page on RMA s public website for program details: 6 Crop/Type Exchange Contract Long Grain Type & No Type Specified Medium Long Grain Type & No Type Specified Arkansas, Mississippi Medium Arkansas, Mississippi Long Grain Type & No Type Specified California & Missouri Medium California Medium Missouri Margin $0.119/pound 0.11 $0.131/pound 0.11 $0.119/pound 0.12 $0.131/pound 0.12 $0.119/pound 0.13 $0.173/pound 0.13 $0.131/pound In accordance with the Margin Provisions (MPP), the rice contract is used to derive the projected rice prices since the November contract lacks sufficient volume and open interest activity. See the relevant MPP document for details: DISPOSAL DATE 31, 2018
Common Crop Insurance Policy & Area Risk Protection Insurance 1
United States Department of Agriculture Farm Production and Conservation Risk Management Agency Beacon Facility Mail Stop 0801 P.O. Box 419205 Kansas City, MO 64141-6205 February 15, 2019 INFORMATIONAL
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