CRC Definitions

 

Inputs:

Crop - Item which has been planted. Valid crops include Corn, Soybeans, Wheat.

Coverage Level - The percentage level of coverage that you desire. Valid coverages include 50, 55, 60, 65, 70, 75, and 80%.

Spring Price - Price calculated during February based on Chicago Board of Trade daily closing price.

Harvest Price - Price calculated during October or November depending upon the plan based on the Chicago Board of Trade daily closing price.

Acres - The number of acres planted in a given crop.

Approved Yield - The four-year history of actual production. This may be found on insurance documentation.

Actual Production - Total bushels actually produced.

Interest / Share - Your interest in the farm.


Outputs:

Guarantee - Guaranteed bushels per acre.

Actual Production Yield - Actual production per acre.

Actual Production Loss - Guaranteed bushels per acre minus the actual production yield.

Minimum Guarantee - Minimum revenue guarantee based on the Spring price of the crop.

Final Guarantee - Final revenue guarantee based on the higher of the Spring price or Harvest price of the crop.

Crop Value - Value of the crop based on the MCPI loss adjustment process.

Revenue Loss - Final guarantee minus the crop value.

Claim - Revenue loss multiplied by the number of acres.