PRF (Pasture Rangeland Forage) protects against a lack of rainfall during selected intervals throughout the year. Many of the PRF policies selected either the Aug-Sep Interval or the Sep-Oct Interval. In 2024, we became dry in Aug through Oct, even through the earlier months had adequate rainfall.
Below you can see the shortage of average rainfall in the Aug-Sep and Sep-Oct Intervals. The red indicates less than 55% of average rainfall.
(Source of graphics: AgencyRoot, www.agencyroot.com)
For example purposes:
Ackley is located in grid 27148.
90% coverage level, 150% protection factor, and 33% of the coverage in the Aug-Sep Interval
Aug-Sep Average Rainfall = 7.3 inches
Aug-Sep 2024 Rainfall = 2.7 inches
(Index Value 37% of Average Rainfall)
Grazing Premium $6.50 per acre
Haying Premium $32.30 per acre
Grazing Indemnity Payment $19.50 per acre
Haying Indemnity Payment $96.90 per acre
This is roughly a 300% loss ratio, meaning your indemnity payment was 3 times your premium.
Get Social