Pasture | Rangeland | Forage

If your agent is saying, “It’s all the same,” Maybe you need an agent that Isn’t.

RI (Rainfall Index)
Rainfall Index is a statistical measurement of rainfall that uses a specific area called a grid. NOAA has grids for the entire country that are approximately 17 miles, north to south and 14 miles, east to west. We determine the location of your operation and find the appropriate grid to analyze your risk.
Coverage is spread over a calendar year into 2-month time intervals. Rainfall amounts are determined within the grid by using the four closest official rainfall measuring stations to the center of your grid.

PRF (Pasture, Rangeland and Forage)
Any perennial grass or forage is insurable under these policies. All native or improved grasses can be insured as grazing lands. Improved grasses, alfalfa or other perennial legumes can be insured as hay. The Risk Management Agency has established a base value for grazing land and hay in every county in the lower
48 states.

How is coverage determined?
A producer can insure up to 150% of the county base value or as low as 60%. This range of coverage is called a productivity factor. Average rainfall triggers can be set as high as 90% of normal rainfall and as low as 70%. Therefore, a producer can have any combination of values and triggers between these two ranges of protection. Our most common coverage sold by Silveus is a 85% rainfall trigger and a 150% productivity factor. (Acres X County Base Value X Productivity X Rainfall Trigger = Total Dollar amount of coverage)

Is this type of coverage subsidized by USDA like other MPCI policies?

Yes! Here are the following coverage levels:

  • 59% subsidy at 70-75% coverage,
  • 55% subsidy at 80-85% coverage,
  • 51% subsidy at a 90% coverage.
  • Are adjusters needed to determine a loss?
    No. Losses are determined simply by subtracting your actual Rainfall Index from your chosen Rainfall Index Trigger. Then divided by the Rainfall index trigger. This percent loss is then multiplied by the amount of coverage you allotted for that 60-day interval. (Trigger Index – Actual Index) divided by Trigger Index.