In 2024, we are dealing with much tighter margins. The cost of production has come down some. But farmers are still dealing with high inputs along with a price that has declined rapidly.

85% Revenue Protection will not provide the same guarantee in 2024 that it did in 2023.

In 2023, $5.91 x 220 APH x 85% Coverage = $1,105 Revenue Guarantee

In 2024, “Estimated $4.75” x 220 APH x 85% Coverage = $888 Revenue Guarantee

This is a difference of $217 per acre in revenue guarantee. Is 85% Revenue Protection enough to breakeven? According to ISU Decision Maker, corn on corn cost of production is $1,042 per acre and corn following soybeans is $993 per acre. Given these numbers, 85% Revenue Protection will be short of locking in a breakeven.

What is your cost of production number?

Remember crop insurance is a risk management tool. Between you knowing your farm operation and me knowing crop insurance. Together we can customize a risk management plan for you.