Ray Massey University of Missouri Crops Economist

AcresCORNCOTTONRICESORGHUMSOYBEANSTotal Planted Acres3,157,981169,289174,325134,9014,469,0748,105,570 Prevented Planting515,64026,68433,39911,7181,054,6041,642,045 Total3,673,621195,973207,724146,6195,523,6799,747,616 % Prevented Planting14% 16%8%19%17% Crop Insurance Indemnities paid in Missouri as of 12/1/2015 for Prevented Planting Corn$94,665,588 Soybean$172,240,178

10-year average = 1.91

10-year average = 2.81

 Prevented planting after final planting date:  Indemnity = 60% of guarantee if planting occurred.  If you plant something else: 60% yield is used to establish your 10-year average yield.  If you don’t plant anything else: proven yield is not affected.

 Replant same crop before final planting date: receive from crop insurance a replanting payment to defer some costs.  Replant different crop:  Indemnity of flooded crop is 35% of what it would have been  65% held until the second crop is harvested; ▪No claim on second crop: receive the 65% on first ▪Claim on second crop: choose to receive 65% on first crop or indemnity on the second crop  Let the field lie idle: indemnity based on your expected yield for that field.

 No second crop planted: crop insurance paid on actual yield  Second crop planted:  Leave a strip to estimate yield  35% of indemnity paid  65% of indemnity held until the second crop is harvested. ▪No claim on second crop: receive the 65% on first ▪Claim on second crop: choose to receive 65% on first crop or indemnity on the second crop

 MOEarlyCropIns.xlsx

Corn Crop Insurance and Planting Problems

Soybean Crop Insurance and Planting Problems