Per Product Management Bulletin PM-24-028, revisions have been approved under section 508(h) of the Federal Crop Insurance Act for the 2025 and succeeding crop years for Livestock Risk Protection (LRP), Livestock Gross Margin (LGM), and Dairy Revenue Protection (DRP).

Livestock Risk Protection (LRP) changes include:

  • Allow producers to sign an application for coverage ahead of the sales period.
  • For LRP Fed Cattle and Swine, the insured is required to provide sales records for swine and fed cattle to receive an indemnity.
  • Suspension of offers for LRP-Feeder Cattle and LRP-Fed Cattle on dates when USDA releases the Cattle on Feed report, and suspension of LRP-Swine offers on dates when USDA releases the Hogs and Pigs report.
  • “Daily Price Limit” definition was removed, and a definition for “Limit Movement” was added to allow LRP offers on days when livestock prices change more than the regular limit, but less than the expanded price limit.
  • Updated the policy and handbook to be consistent with other FCIC issued policies and handbooks.

Livestock Gross Margin (LGM) changes include:

  • Allow producers to sign an application for coverage ahead of the sales period.
  • For LGM Cattle and Swine, converted the “approved target marketings” and “target marketings” report to “cumulative target marketings”.
  • For LGM Cattle, definitions for “target corn weight,” “target feeder cattle weight,” and “target live cattle weight” were added, and the definitions for “actual cost of feed,” “actual gross margin per head,” “expected cost of feed,” and “expected gross margin per head” were modified to provide more flexibility in choosing the cattle weight and the amount of corn fed per head.
  • For LGM Swine, the definitions of “actual corn price,” “actual soybean meal price,” and “actual swine price” were modified to reflect the change in timing and methodology for calculating actual prices, definitions for “expected corn price,” “expected soybean meal price,” and “ expected swine price” were modified to reflect the change in timing and methodology for calculating expected prices, the definition of “marketing report” was modified to provide additional flexibility for swine sold earlier or later than expected, and the definition of “expected price measurement period” was removed since that term is no longer used.
  • Updated the policy and handbook to be consistent with other FCIC issued policies and handbooks.

Dairy Revenue Protection (DRP) changes include:

  • Updated the policy and handbook to be consistent with other FCIC issued policies and handbooks.

Dairy Revenue Protection Notice:

  • Due to reductions in National Agricultural Statistics Service (NASS) milk reporting, FCIC will not be able to calculate the state yield for the states listed below for quarters 1 through 3 of 2025 for 2024 RY policies. Per section 7(g) of the DRP policy, 2024 policies for those three quarters in the below states will have their Yield Adjustment Factors set to 1. The policy and endorsement revisions for 2025 RY will account for NASS’s changes and will resume functioning as normal.
  • List of states:
    • AK, AL, AR, CT, DE, HI, KY, LA, ME, MD, MA, MS, MT, NE, NV, NH, NJ, NC, ND, RI, SC, TN, WV, and WY.