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Margin Protection
Margin Protection (MP) is an MPCI (Multi-Peril Crop Insurance) product that provides coverage against an unexpected decrease in your operating margin, found by taking revenue minus input costs. This protection is based on county-level estimates of average revenue and input costs to find the level of coverage and the indemnity. Essentially Margin Protection will provide a payment if the average margin in your county is lower than expected due to a decrease in revenue and/or an increase in input costs.
MP can be purchased as stand-alone MPCI product or alongside a Revenue Protection (RP) or Yield Protection (YP) policy.
Harvest Price Option may also be purchased with MP, if the harvest price is greater than your county's original projected price, your county's expected revenue used in the trigger margin is recalculated using the greater harvest price.
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