Livestock Risk Protection (LRP) Insurance
The livestock market can be highly volatile. LRP is a risk management tool intended to protect against a price decline.
LRP is a federally subsidized insurance program intended to protect against declining market prices. With LRP coverage from MOMENTUM AG, you can rest assured knowing you’re proactively safeguarding your financial future.
By providing a holistic risk management approach, we aren’t just working with you on LRP; we’re providing a complete risk management strategy customized to your unique livestock operation.
We’re here to build a loyal, long-term relationship with you, ensuring stability and trust in times of market loss, mortality loss or unexpected peril.
Many MOMENTUM AG agents are livestock producers like you. We understand the distinctive risks associated with livestock operations and are familiar with the specific challenges you may be facing, making us well equipped to help you design a strategy that works for your needs.
What Is Livestock Risk Protection?
An LRP policy covers the difference between the chosen coverage price and the actual ending value for their coverage at a specified end date. It’s available to any U.S. livestock producer who owns fed cattle, feeder cattle or swine. If the actual ending value is below the coverage price at the end of the insurance period, you will receive an indemnity payment for the difference.
LRP insurance provides flexibility, with coverage levels and insurance periods between 13 weeks and 52 weeks in length, allowing you to choose coverage that aligns with your production and marketing periods.
Coverage is also available on a per head basis, granting additional coverage flexibility by not requiring all animals to be insured at once. (Note LRP does not insure against death loss or any other loss or damage to your animals.)
How Does the Livestock Risk Protection Application Process Work?
If you are not already participating in LRP may complete an application at any time by working with an authorized crop insurance agent, such as a member of the MOMENTUM AG team. If you are already covered with LRP, you must transfer by June 30 for the upcoming insurance year; no within year transfers are allowed.
Once the application is accepted, specific coverage endorsements can be purchased for up to 12,000 head of fed cattle that are expected to weigh up to 1,600 pounds at the end of the insured period. Feeder cattle can weigh up to 1,000 lbs. Keep in mind that the annual limit is 25,000 head per producer per year, which runs from July 1st to June 30th. Swine producers can purchase coverage for up to 70,000 head per endorsement and no more than 750,000 head annually.
Insurance does not attach until the you purchase a specific coverage endorsement and is officially approved. Insurance coverage starts on the date the specific coverage endorsement was purchased.
Connect with an Agent
Call 866-878-7133 to speak with an agent or complete the form below for more information.