06/20/08 Encouraging participation in livestock risk protection insurance

Washington Ag June 20, 2008 A year ago the Risk Management Agency Spokane Regional Office announced the availability of the Livestock Risk Protection, LRP, program in all counties in Washington, Oregon and Idaho. LRP includes plans of insurance for fed cattle, feeder cattle, lamb and swine, and RMA's Jo Lynne Seufer says the first year participation has been extremely positive. Seufer: "Participation for the 2008 crop year is covering about 117-thousand head of livestock with a total liability coverage of over 17-million dollars. Again, Pacific Northwest livestock producers have really grasped this program." Seufer says sheep producers in particular are participating probably because they don't have a futures market that offers price protection, which is what LRP does. It protects the policy holder against downward price risk during the insurance period. LRP does not cover other types of losses such as mortality. The producer picks the coverage period corresponding to the expected sell or slaughter date. RMA is offering LRP again for the 2009 crop year beginning this July 1st. Sales continue through June 30th 2009. A list of livestock crop insurance agents is available at all USDA Service Centers or at the RMA website. I'm Bob Hoff.