Strong prices in the cattle market come with challenges around cash flow. Livestock Risk Protection (LRP) is good for setting a price floor on cattle but can also be used to help manage cash flow.
Some producers are looking at LRP because the alternative might be dealing with margin calls. When cash is tied up in cattle and facilities and calf prices are high, LRP can provide an alternative. LRP is downside price protection that leaves the upside open, and premiums are due at the end of the insurance period. Large premium subsidies also make LRP coverage more affordable.
One of the benefits of working with us is access to our exclusive Livestock Insurance Analyzer mobile app. The app helps producers choose the right coverage as you can sort through coverage options quickly and thoroughly. View daily quotes and current coverage options, easily request coverage and notify your agent. The app can send notifications for ending endorsements and gives access to PDF reporting of your LRP coverage and indemnity forecasts to share with your risk management team.
