Dairy Farmers Buying In To Revenue Protection Insurance Big Time
After just a month on the market, dairy farmers in 248 counties in 24 states have purchased Dairy Revenue Protection (Dairy-RP) in insurance. The bulk of that insurance is reportedly for the first quarter of 2019.
Some 2.7 billion lb of milk have been covered, reports John Newton, chief economist for the American Farm Bureau Federation. “Anecdotally, a majority of the endorsements sold were for the first quarter of 2019, signaling that Dairy-RP policies currently represent approximately 5 percent of the U.S. expected milk production the first quarter of 2019,” he says.
Wisconsin is the most active participant, covering 1.2 billion lb of milk. Idaho producers have covered 349 million lb while California dairy farmers have covered 218 million lb. South Dakota dairy farmers have also been relatively active, covering 173 million lb of milk.
You can read more about first month Dairy RP coverage here.
Read how Dairy RP is tailored after and built upon the success of crop insurance here.