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| I don't think 85% is a good product, unless you "know" the market is going substantially lower, or you will have a widespread yield loss. Every situation is different, however over time, the 85% is too costly. I believe using saved premium dollars to protect other risks, such as production hail (wind), or option purchase (or pocketing the saved dollars) might serve better than buying the highest level.
Attached is a Lyon County IA comparison from farmdoc, showing 85% RA, CRC, and 80% RA & CRC. I believe CRC is performing better for three reasons:
1. We have never exceeded the $1.50 limit move (that 'record' may be at risk this year).
2. CRC uses October as the fall averaging month, while RA uses November, and most often revenue coverage in the I states pays due to price decline, and often the harvest lows (therefore lower price for that month) occur at or before early harvest. The lower the fall price (when lower than the spring price), the more bushels are guaranteed, and the more revenue coverage will pay.
3. Lower cost. In most circumstances, CRC at higher levels cost less than RA.
My opinions, good luck, Rob
Attachments
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 Lyon IA CRN farmdoc comparison.pdf (123KB - 136 downloads)
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Crop Ins- RA w/HPO vs CRC (Corn)
