The 2024 harvest prices are out, and both corn and soybeans came in much lower than last year, setting up some important implications for your crop insurance coverage.
The Harvest Prices for Corn and Soybeans are:

These Fall Harvest Prices will determine if many farmers have a loss and are due a claim payment. Any producers with a Revenue Protection (RP) crop insurance plan should pay close attention to these main points:

  • A farmer may have a loss if your revenue is below your revenue guarantee
  • If you have already had a claim paid by PRM, you will receive an additional loss payment
  • Immediate production reporting is key for revenue loss claims
  • Precision Data- use or notify the Data Specialist Team
  • Get your questions answered on guarantees or claims by SST or your Advisor

A farmer may have a loss if your revenue is below your insurance guarantee

Revenue Protection insurance for crops guarantees a revenue level taking the higher of two prices: the Spring Base Price and the Fall Harvest Price. If the Harvest Price falls below the base, the policy may pay the difference to the farmer, ensuring income stability.ย Since the Harvest Price this year is significantly lower than the Base Price, it is possible a producer may have a loss and is owed a loss payment.ย ย 

Here is a simple corn example for a small operation:

A farmer can produce over the bushel guarantee and still have a revenue loss

If a producer has a great year and has a productive yield over the bushel guarantee, there could still be a loss with a Revenue Protection policy. The total revenue guarantee is the key factor that needs to be examined.

The bushel guarantee is calculated by taking the average of the approved yields in your database with some alterations such as trend adjustment. This average yield is expressed in bushels per acre and represents the expected yield for the insured crop.

Now, letโ€™s use that in a second simple corn example on the same operation:

If you have already had a claim paid by PRM, you will receive an additional loss payment for 2024 Harvest Prices

Some producers have already had a loss situation, such as cutting silage, and received a loss check. This payment was based on the Spring Base Price. With the Fall Harvest Price lower, the producer may receive an additional check. There is nothing the customer needs to do. PRM will automatically send the additional payment.

Precision Data- Use or notify the Data Specialist Team for 2024 Harvest Prices

Precision data makes your production reporting and claims process even easier. PRMโ€™s Data Specialist Team is ready to take the burden of collecting and applying the data from you. When you are done harvesting, notify your Data Specialist so they can collect your data and get reporting completed.

Get your questions answered on guarantees or claims by SST or your Advisor

Crop insurance gets more complicated the deeper you go, and questions are bound to come up. Your Sales Support Team (SST) and your Risk Management Advisor are here to help. They can go over your guarantees and answer any questions on possible claims. You can contact your Advisor directly or call SST: (605) 827-2011