Livestock Risk Protection (LRP) protects your investment should prices drop before your livestock gets to market while preserving your upside potential. LRP is similar to a put option, allowing producers to establish a floor price for protection while leaving upside price potential open. Unlike market contracts and options, it does not require a margin account or broker, it is closer to the actual ending value of the livestock and is based on cash market index price rather than the futures market. This federally-sponsored program insures against declining market prices (based on USDA’ Agricultural market Services).
- Livestock Risk Protection | Feeder Cattle (PDF)
- Livestock Risk Protection Policy Specific Coverage Endorsement – Feeder Cattle (PDF)
- Livestock Risk Protection | Fed Cattle (PDF)
- Livestock Risk Protection Policy Specific Coverage Endorsement – Fed Cattle (PDF)