Soybean Specific Information
Soybean Crop Insurance for Eastern Arkansas and Western Mississippi
Coverage for One of the Delta’s Most Important Crops
Soybeans may offer planting flexibility, but they still carry substantial production and price risk. Seed, chemicals, fertilizer, irrigation, equipment, land rent, and harvesting costs are committed without knowing the final yield or market price.
Soybean crop insurance helps protect your operation when adverse weather, reduced production, price declines, or covered quality problems reduce the value of the crop.
At Delta Crop Insurance, we help producers evaluate coverage for full-season, irrigated, non-irrigated, and qualifying soybeans planted following another crop.
Risks Facing Delta Soybean Producers
Depending on the policy and circumstances, insured causes of loss may include:
Excessive rainfall and flooding
Drought and extreme heat
Wind, hail, and damaging storms
Fire
Wildlife damage
Insects and plant disease when proper control measures were used
Failure of the irrigation water supply caused by an insured event
Covered harvest-time quality problems
A change in the harvest price under Revenue Protection
Losses caused by poor farming practices, preventable damage, chemical injury resulting from an improper application, or inadequate pest and disease control generally are not covered.
Revenue Protection for Soybeans
Revenue Protection protects against lower insured revenue caused by:
Reduced production
A decline in the harvest price
A combination of production and price loss
Your approved yield is multiplied by the selected coverage level to establish the production guarantee. The guaranteed bushels are then valued using the projected price.
Under standard RP, the guarantee may increase when the harvest price is higher than the projected price. This can help protect producers who have contracted soybeans or need to replace lost bushels in a higher market.
Yield Protection for Soybeans
Yield Protection protects against a physical production loss caused by an insured event.
If production to count falls below the guaranteed number of bushels, the shortage is multiplied by the projected price.
Yield Protection does not cover a decline in the harvest price.
Revenue Protection with Harvest Price Exclusion
Revenue Protection with Harvest Price Exclusion protects against reduced revenue but does not allow the guarantee to increase when the harvest price is above the projected price.
The option may carry a lower premium, but it provides less protection when production is short and soybean prices increase.
Soybean Loss Example
Assume the following Revenue Protection coverage:
Approved yield: 60 bushels per acre
Coverage level: 75%
Production guarantee: 45 bushels per acre
Projected price: $12.00 per bushel
Harvest price: $10.50 per bushel
Actual production: 35 bushels per acre
Insured share: 100%
Revenue guarantee
45 guaranteed bushels × $12.00 projected price = $540 per acre
Value of production
35 actual bushels × $10.50 harvest price = $367.50 per acre
Estimated indemnity
$540.00 guarantee − $367.50 production value = $172.50 per acre
For a 100-acre unit:
100 acres × $172.50 = $17,250
Under Yield Protection, the same production loss would be:
45 guaranteed bushels − 35 actual bushels = 10-bushel shortage
10 bushels × $12.00 projected price = $120 per acre
This is a simplified example. Actual claims can be affected by unit structure, share, appraisals, quality adjustment, uninsured causes, and production records.
Full-Season and Following-Another-Crop Soybeans
Soybeans planted following wheat or another crop may be classified differently from full-season soybeans.
Where offered, the policy may distinguish between:
Not Following Another Crop, or NFAC
Following Another Crop, or FAC
The available practices, guarantees, rates, and unit options may differ. Soybeans planted after wheat are not automatically insurable under the FAC practice in every county or situation.
Double-crop eligibility can depend on:
County actuarial availability
Planting and harvest dates
Double-cropping history
Whether the practice is generally recognized in the area
Records showing the acreage was previously double cropped
The applicable first- and second-crop provisions
Review intended wheat and soybean acreage with us before planting. This is particularly important when a wheat claim, prevented planting claim, or change in intended use may affect the following soybean crop.
Soybean Quality Adjustments
Mature soybeans may qualify for moisture or quality adjustment when insured conditions cause qualifying damage.
Production may be adjusted for excess moisture above the policy standard. A quality adjustment may also apply when soybeans fall below the required grade because of qualifying test-weight problems, kernel damage, objectionable odors, garlicky soybeans, or substances harmful to human or animal health.
The damage must result from an insured cause, and samples must be obtained and graded or tested according to policy requirements.
Ordinary elevator discounts, protein differences, oil content, or marketing deductions do not automatically qualify.
Contact us before selling, blending, moving, feeding, or destroying damaged soybeans.
Replant Coverage for Soybeans
A replant payment may be available when an insured cause damages the crop and:
The remaining stand is not expected to produce at least 90% of the production guarantee
Replanting is practical
The acreage meets all other policy requirements
Unless the Special Provisions state otherwise, the maximum soybean replant payment is based on the lesser of:
20% of the production guarantee, or
Three bushels per acre
That amount is multiplied by the projected price and insured share.
Do not destroy or replant a damaged stand before contacting us. The insurance company may need to inspect or appraise the acreage.
Prevented Planting for Soybeans
Prevented planting coverage may apply when a covered cause of loss prevents eligible acreage from being planted by the final planting date.
A field simply being wet is not enough by itself. The conditions generally must affect the surrounding area, and the acreage must meet the policy’s planting history and eligibility requirements.
Choices following the final planting date may include:
Planting soybeans during the late planting period with a reduced guarantee
Planting another crop
Leaving the acreage unplanted
Claiming prevented planting when eligible
Second-crop and double-crop rules can significantly affect the payment. Contact us before planting another crop on acreage being considered for a prevented planting claim.
ECO and SCO for Soybeans
Eligible soybean producers may use ECO or SCO to cover portions of the deductible above their individual policy.
ECO can cover a band from a 90% or 95% trigger down to 86%. SCO generally covers from 86% down to the underlying coverage level.
Both products are based on county results rather than the loss on one farm. Final payments may not be determined until county yields and revenues are released after the crop year.
SCO eligibility can be affected by ARC elections at FSA. ECO eligibility is not affected by ARC.
Unit Structure Matters
Soybean losses are calculated by insured unit. Good production on one farm can offset a loss on another farm when both are included in the same unit.
Depending on eligibility, unit choices may include:
Basic units
Optional units
Enterprise units
Multi-county enterprise units
Separate structures for eligible FAC and NFAC practices
Unit structure should be evaluated based on acreage location, production variability, irrigated and non-irrigated practices, premium savings, and the ability to maintain separate production records.
Important Soybean Insurance Dates
For Arkansas and Mississippi, the soybean sales closing and cancellation date is generally February 28.
Final planting dates, FAC and NFAC requirements, late planting periods, acreage reporting dates, and production reporting deadlines vary by county and crop year.
Unless otherwise stated in the actuarial documents, the regular end of the soybean insurance period is December 10.
Protecting Your Soybean Claim
Maintain:
Settlement sheets and scale tickets
Yield-monitor and grain-cart records
Bin measurements
Farm and unit identification
Irrigation records when relevant
Quality grades and laboratory results
Records distinguishing FAC and NFAC production
Records separating production by insured unit
Do not destroy, abandon, replant, or put damaged acreage to another use without first receiving instructions.
Build a Soybean Policy Around Your Operation
The right soybean coverage depends on your yield history, planting plans, crop rotation, double-crop practices, unit structure, marketing plan, and financial exposure.
Delta Crop Insurance can compare Revenue Protection, Yield Protection, ECO, SCO, replant, prevented planting, and FAC coverage for your operation.
Call Delta Crop Insurance at 870-376-0781 or visit DeltaCropInsurance.com to schedule a soybean 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.