Yield Protection (YP) / Actual Production History (APH)
What is Yield Protection (YP) / Actual Production History (APH)?
The Common Crop Insurance Policy, also known as the Combo Policy, combines the Actual Production History (APH), Crop Revenue Coverage (CRC), Revenue Assurance (RA), and Income Protection (IP) policies into a single insurance policy provision.
The combination of principal features of these 4 past insurance plans will offer producers a choice of revenue protection or yield protection with one basic provision and the applicable crop provisions. The goal of the Combo Policy is to reduce the amount of information producers must read to determine the best risk management tool for their operation and to better meet the needs of the insured producers.
The new Combo Policy, Basic Provisions, and related crop provisions affect the following crops: wheat, barley/malting barley, corn, grain sorghum, soybeans, cotton, rice, sunflowers, and canola/rapeseed.
Yield Protection (YP) and Actual Production History (APH) are multiple-peril crop insurance products that provide protection against losses in yield due to nearly all natural disasters. For most crops, that includes drought, excess moisture, cold and frost, wind, flood, and unavoidable damage from insects and disease. These products guarantee a yield based on an individual producer's actual production history. If the production to count is less than the yield guarantee, an indemnity is paid.
What are the benefits of YP/APH?
Protection against production loss
Based on a producer's own production history
Provides coverage levels ranging from 50% to 85% of the APH in 5% increments
Provides coverage on basic and optional units. Enterprise and whole farm unit coverage is available in some areas
Offers a competitive premium
Subsidized by the Federal Crop Insurance Corporation (FCIC)
How does it work?
Establishes a guarantee of bushels per acre
YP Projected Price is determined by futures contracts, and APH price is established by the FCIC
Pays an indemnity if the production to count falls below the yield guarantee
This plan is available in the following states: AR, CO, IL, IN, IA, KS, MI, MN, MO, NE, ND, OH, OK, SD, & WI.
