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| I've had it the past two years. For reference I take RP on corn and soybeans and your underlying policy whether it is RP, RPHE, or YP affects your ECO calculation.
You can take ECO at 90% (covers 90%-86% of county shortfall) or 95% (covers 95%-86% of county shortfall). ECO payouts are calculated independently from any claim on your underlying policy.
Here's an example given the following assumptions 95% ECO, 200 APH, $4.50 spring price, 185 county projected yield, 85% RP.
RP Policy > 200 x 4.5 x .85 = $765 of coverage
RP Claim > 190 x 4 = $760 Actual Revenue > $5/Acre RP payment
ECO Coverage > 185 x 4.5 = $832.50 County Projected
ECO Claim > 180 x 4 = $720 County Actual > 720/832.5 = 86.5% > 100-86.5-5 = 8.5% payable > 765 x .085 = $65.02/acre payment on ECO
You don't get paid until RMA determines county yields in June.
Premium was previously subsidized 44%, it's now going to be subsidized 65%. In 2024, I received $90/acre of coverage for $26/Acre premium. The premium would be reduced to $15-16 in 2025. | |
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ECO price per acre. Any ideas?
