There are three types of Livestock Risk Protection:
- Livestock Risk Protection (LRP) covers the risk of price declines for feeder cattle, fed cattle and swine. It provides producers an indemnity if a regional or national cash price index falls below an insured coverage price. Similar to a put option, the LRP policy is price insurance only, providing single-peril price risk protection for the future sale of insured livestock.
- Livestock Gross Margin (LGM) offers protection against a decline in the feeding margin for cattle and swine. An indemnity is paid if the insured gross margin is greater than the total actual gross margin at the end of the insurance period.
- Livestock Mortality offers a broad range of flexible coverage to fit your operation and protect your livestock/investment.