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Spring crop insurance prices set in the US

Updated Mar 1, 2023
Spring crop insurance prices, which are computed by averaging the daily close of new-crop futures contracts throughout February, should provide farmers good risk management.
OMAHA (DTN) -- Spring reference prices for crop insurance were set at $5.91 per bushel of corn, $13.76 per bushel of soybeans and $8.87 per bushel of spring wheat, as the market closed on Tuesday, Feb. 28. The prices are an essential component of revenue protection crop insurance policies, the most popular subsidized insurance option among U.S. farmers. The spring reference prices are computed by averaging the daily closing price of the December corn, November soybean and September spring wheat contracts throughout February. Those numbers are combined with the farm's actual production history (APH) to determine a level of revenue to establish the crop insurance guarantee. Farmers can elect to insure up to 85% of that revenue, with most choosing to purchase 75%, 80% or 85% depending on what the premiums are in their area. The spring reference price for corn is almost the same as last year's $5.90 per bushel, but the soybean estimate is more than $1 lower than last year's ...
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