Livestock Risk Protection

About LRP

Are you a livestock producer? Worried about prices? Livestock Risk Protection provides your business with protection against declining market prices for fed cattle, feeder cattle and swine. LRP is available all year long for producers with an ownership share in eligible livestock.

Benefits of LRP

Quarterly coverage endorsements correspond to the eight quarterly insurance periods available for purchase during the crop year. Producers may purchase coverage for up to five quarters and have multiple endorsements for the same quarterly insurance period.

• • • • No margin calls or brokerage fees
      • No upfront costs, premiums due at the end
      • Limited basis risk coverage
        • The aggregate cash price used better reflects actual price received
      • Any number of head can be covered (up to limits)
      • Numerous endorsement period options
        • Producer selects the period that fits their risk management plan
      • Wider range of target weights than CME
      • LRP is an insurance policy and may be viewed more favorably by lenders than hedging or speculating (derivative products)