Corn Specific Information
Corn Crop Insurance for Eastern Arkansas and Western Mississippi
Protecting the Investment Behind Every Corn Acre
Corn requires a significant financial investment early in the growing season. Seed, fertilizer, chemicals, irrigation, fuel, equipment, land rent, and labor are committed before the crop’s final yield or market price is known.
Corn crop insurance helps protect that investment when adverse weather, reduced production, declining prices, or covered quality problems reduce the value of the crop.
At Delta Crop Insurance, we help corn producers in Eastern Arkansas and Western Mississippi evaluate their approved yields, coverage levels, unit structure, irrigated and non-irrigated practices, ownership share, and county-level coverage options.
Risks Facing Delta Corn Producers
Depending on the circumstances and policy provisions, insured causes of loss may include:
Excessive rainfall and flooding
Drought and extreme heat
Wind, hail, and damaging storms
Fire
Wildlife damage
Insects or plant disease when proper control measures were used
Failure of the irrigation water supply caused by an insured event
Covered quality problems
A change in the harvest price under Revenue Protection
Crop insurance does not cover every reduction in production. Losses caused by poor farming practices, avoidable damage, improper chemical applications, insufficient pest control, or failure to follow recognized good farming practices generally are not covered.
Revenue Protection for Corn
Revenue Protection, or RP, protects against reduced insured revenue caused by:
Lower production
A lower harvest price
A combination of yield and price loss
Your approved yield is multiplied by your coverage level to establish a production guarantee. That guarantee is valued using the projected price.
Under standard RP, the revenue guarantee can increase if the harvest price is higher than the projected price. This feature may be particularly important when corn has been contracted or when lost production must be replaced in a rising market.
Yield Protection for Corn
Yield Protection, or YP, protects against a physical reduction in production caused by an insured event.
If the bushels produced for the unit fall below the guaranteed bushels, the shortage is valued using the projected price.
YP does not protect against a decline in the harvest price. It is primarily designed for producers who want protection against lost production rather than combined yield and price risk.
Revenue Protection with Harvest Price Exclusion
Revenue Protection with Harvest Price Exclusion protects against lower revenue but does not allow the guarantee to increase when the harvest price rises.
This option may cost less than standard RP, but the difference can become important when production is short and corn prices increase.
Corn Loss Example
Assume the following Revenue Protection coverage:
Approved yield: 200 bushels per acre
Coverage level: 80%
Production guarantee: 160 bushels per acre
Projected price: $4.80 per bushel
Harvest price: $4.20 per bushel
Actual production: 130 bushels per acre
Insured share: 100%
Revenue guarantee
160 guaranteed bushels × $4.80 projected price = $768 per acre
Value of production
130 actual bushels × $4.20 harvest price = $546 per acre
Estimated indemnity
$768 guarantee − $546 production value = $222 per acre
For a 100-acre unit, the estimated indemnity would be:
100 acres × $222 = $22,200
Under Yield Protection, the same loss would be calculated as:
160 guaranteed bushels − 130 actual bushels = 30-bushel shortage
30 bushels × $4.80 projected price = $144 per acre
This is a simplified example. Actual claims can be affected by unit structure, insured share, quality adjustment, appraisals, uninsured causes, and production records.
Grain Corn Versus Silage
Corn may be insured as grain or silage when the applicable type is offered in the county actuarial documents.
The intended use must be reported correctly on the acreage report. If corn reported for grain will instead be harvested as silage, earlage, snaplage, hay, or fodder, the insurance company must be notified before harvest begins so the crop can be appraised.
Changing the method of harvest without providing notice can result in additional production being counted against the claim.
Corn Quality Adjustments
Mature grain corn may qualify for quality adjustment when an insured cause of loss results in certain serious quality deficiencies.
Quality adjustment may apply when corn fails to meet the required grade because of qualifying test-weight problems, kernel damage, objectionable odors, or substances considered harmful to human or animal health.
Aflatoxin or another mycotoxin may qualify when:
It resulted from an insured cause of loss
The condition occurred during the insurance period
Proper samples were obtained
Testing was completed by an approved laboratory
All policy requirements were satisfied
Ordinary elevator discounts do not automatically qualify as an insured quality loss.
Contact us before selling, blending, feeding, moving, or destroying corn with a suspected quality problem.
Replant Coverage for Corn
A replant payment may be available when:
An insured cause damages the original stand
The remaining stand is not expected to produce at least 90% of the production guarantee
It is practical to replant
All other replant requirements are satisfied
Unless the Special Provisions state otherwise, the maximum corn-grain replant payment is based on the lesser of:
20% of the production guarantee, or
Eight bushels per acre
That amount is multiplied by the projected price and insured share.
Do not destroy or replant damaged corn before contacting us. An appraisal or inspection may be required.
Prevented Planting for Corn
Prevented planting coverage may apply when a covered cause of loss—such as widespread excessive moisture—keeps eligible acreage from being planted by the final planting date.
The condition must generally affect the surrounding area, and the acreage must meet the policy’s history and eligibility requirements.
After the final planting date, a producer may consider:
Planting corn during the late planting period with a reduced guarantee
Planting another crop
Leaving the acreage unplanted and claiming prevented planting
Taking another action permitted by the policy
Each decision can affect the payment, premium, second-crop coverage, and future eligibility. Contact us before making the final decision.
ECO and SCO for Corn
Eligible corn producers may add area-based protection through the Enhanced Coverage Option or Supplemental Coverage Option.
ECO can cover a band from a 90% or 95% trigger down to 86%. SCO generally provides protection from 86% down to the underlying policy’s coverage level.
These products are based on county results. An individual farm loss does not guarantee an area payment, and a county payment may occur without an individual loss.
SCO eligibility can also be affected by ARC elections made through FSA. ECO eligibility is not affected by ARC.
Unit Structure and Production Records
Corn losses are calculated at the insured-unit level. Stronger fields in a unit can offset losses from weaker fields in that same unit.
Depending on eligibility, a producer may use basic, optional, enterprise, or multi-county enterprise units. Irrigated and non-irrigated practices may also affect unit structure and guarantees.
Maintain:
Settlement sheets and scale tickets
Grain-cart and yield-monitor records
Bin measurements
Field and unit identification
Irrigation records when relevant
Quality grades and laboratory reports
Records separating production by insured unit
Do not commingle production from different units until it has been measured and documented properly.
Important Corn Insurance Dates
For Arkansas and Mississippi, the corn sales closing and cancellation date is generally February 28.
Final planting dates, late planting periods, acreage reporting dates, and production reporting deadlines vary by county and crop year.
Unless the actuarial documents provide otherwise, the regular end of the insurance period for grain corn in Arkansas and Mississippi is December 10.
Build a Corn Policy Around Your Operation
The right corn policy depends on your approved yield, irrigated and non-irrigated acreage, unit structure, marketing plan, financial exposure, and tolerance for risk.
Delta Crop Insurance can compare coverage levels and show how Revenue Protection, Yield Protection, ECO, SCO, replant, and prevented planting coverage could respond under different scenarios.
Call Delta Crop Insurance at 870-376-0781 or visit DeltaCropInsurance.com to schedule a corn coverage review.
Coverage, availability, deadlines, premiums, and policy terms vary by county and crop year. This page provides general information and does not replace the applicable policy, endorsements, actuarial documents, Special Provisions, or approved insurance-provider determinations.
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Contact us for personalized assistance with your crop insurance needs.