| Tank2516 - 1/8/2025 09:32
I don’t see how that is possible as long as he had the same insurance level. He would have been paid more since the fall price was lower than the spring price. Now I don’t know if that increase in payment paid for the higher premium the RP policy would have cost so maybe that is what is was getting at.
You get the higher of the two prices. If the fall price is less, you spent more for the same floor with RP. If its higher in the fall is the only time you will get paid more with RP than you would with HPE, and pretty much you have to have a yield loss below APH because the bushels you produce, count against your dollar guarantee. If RMA is your plan, theoritically, you better not sell a bushel til November. Becuase if you sell at 5, and the October price is 6, you lost that dollar regardless because RMA assigned the 6 dollar price to those bushels.
Gotta hand it to the RMA salespeople though. We swallow that guarantee hook line and sinker.
Take care |
The case for harvest price exclusion (RP-HPE)
