MPCI Supplemental Coverage Comparisons
| Enhance Coverage Option (ECO) | Margin Coverage Option (MCO) | Margin Protection (MP) | Margin Protection with Harvest Price Option (MPHPO) | Stacked Income Protection Plan for Upland Cotton (STAX) | Supplemental Coverage Option (SCO) | |
|---|---|---|---|---|---|---|
| Benefits | Provides additional coverage to an underlying YP, RP, RPHPE, APH or Yield Based Dollar Amount of Insurance policy. | Covers a portion of the underlying MPCI Yield Protection (YP), Revenue Protection (RP), Revenue Protection with the Harvest Price Exclusion (RP-HPE) or Actual Production History (APH) policy’s deductible using a margin-based trigger. | Provides coverage against an unexpected decrease in operating margin (revenue less input costs). | Provides coverage against an unexpected decrease in operating margin (revenue less input costs). | Provides coverage for a portion of the expected revenue for Upland Cotton in a county. | Provides additional coverage to an underlying YP, RP or RPHPE policy. |
| Guarantee |
Expected Area Yield or Expected Crop Value x coverage range (86% to 90% or 95%) - depends on underlying policy coverage plan |
Expected Margin - ((1 - Trigger Level) × Expected Area Revenue) = Trigger Margin | Expected Margin – (Expected Margin x (1 – coverage level)) = Trigger Margin | Expected Margin – (Expected Margin x (1 – coverage level)) = Trigger Margin. Utilizes higher of margin projected price or margin harvest price. | Expected County/Area Yield × Greater of Projected or Harvest Price × Selected Range × Protection Factor |
Expected Area Yield or Expected Crop Value × 86% (depends on underlying policy coverage plan) |
| Price |
Commodity Exchange Price Provisions (CEPP) projected price |
Margin Price Provisions projected prices | Margin Price Provisions projected prices | Margin Price Provisions projected prices | Selected Protection Factor of 80-120% of the Commodity Exchange Price Provisions (CEPP) projected price. |
Not Applicable |
| Maximum Upward and Downward Price Movement | Not Applicable for yield plans. If RP or RPHPE, the harvest price - same as ARP. | The margin harvest price will not be greater than the margin projected price multiplied by 2.00. No downward price limitation. | The margin harvest price will not be greater than the margin projected price multiplied by 2.00. No downward price limitation. | The margin harvest price will not be greater than the margin projected price multiplied by 2.00. No downward price limitation. | The harvest price cannot be greater than the projected price multiplied by 2.00. No downward price limitation. | Not Applicable if YP. If RP or RPHPE, the harvest price – same as ARP. |
| Administration Fee | $30 | $30 | $30 | $30 | $30 | $30 |
| Coverage Level | Coverage percent of 50% - 100% of the coverage range 86% to 90% or 95% selected area trigger level | Coverage percent of 50% - 100% of the coverage range 86% to 90% or 95% selected area trigger level | 70%, 75%, 80%, 85%, 90% and 95% of the expected margin. | 70%, 75%, 80%, 85%, 90% and 95% of the expected margin. | The range is from 70% to 90% of the expected area revenue. Coverage elections are 0%, 5%, 10%, 15% and 20% | From 86% to coverage level of the underlying policy |
| Units | One unit for each ECO coverage offer in the county | One unit for each irrigated and non-irrigated practice within the county | Enterprise, Basic and Optional | Enterprise, Basic and Optional | One unit for each offer within the county | One unit for each SCO coverage offer in the county |
| Losses | Losses are paid when the county yield or revenue is reduced beyond the trigger level | Losses are paid when the harvest margin falls below the trigger margin | Paid when the county harvest margin is less than the trigger margin. Any base policy indemnity is subtracted from the potential MP loss. Protection Factors available between 0.8 and 1.2. | Paid when the county harvest margin is less than the trigger margin. Any base policy indemnity is subtracted from the potential MP loss. Protection Factors available between 0.8 and 1.2. | Paid when area average revenue falls below insured’s selected trigger revenue. | Paid when county average price or yield (dependent on underlying MPCI policy) drops below 86% of expected area yield or expected crop value. |
| Prevented Planting | Not Available | Not Available | Not Available | Not Available | Not Available | Not Available |
| Replanting Payments | Not Available | Not Available | Not Available | Not Available | Not Available | Not Available |
| High-Risk Land Exclusion | Not Available | Available | Not Available | Not Available | Not Available | Not Available |
| Written Agreements | Not Available | Not Available | Not Available | Not Available | Available | Not Available |
| Hail and Fire Exclusions | Not Available | Not Available | Not Available | Not Available | Not Available | |
| Subsidies for Basic / Optional Units (Level - Percentage) | 80% | 65% |
CAT – Not Available |
CAT – Not Available |
80% | 80% |
| More Information | Details about ECO | Details about MCO | Details about MP | Details about MPHPO | Details about STAX | Details about SCO |
The insurance products described here are subject to availability and qualification. This is not an exhaustive list of all products available. Product availability and coverage subject to change. Contact your Rain and Hail representative for more information.
