The vice president of farm services at NAU Country Insurance says crop insurance prices are favorable for corn ahead of the upcoming growing season.
The prices, set at the end of February, are used to determine revenue guarantees for the entire year for farmers who choose revenue protection.
Rich Morrison tells Brownfield “the final prices for the 2025 crop has corn at $4.70 and soybeans ended up at $10.54. The corn price is up four cents from last year and the soybean price is down $1.01 from last year.”
Morrison says the grain market rally lasted through February and helped keep prices stronger.
“When we had corn around $4.50, things were looking bleak. The rally was nice, we would have liked it to stick around awhile longer, but hopefully, producers could do some selling and get insurance locked in.”
He says sorghum prices end up a fraction higher than corn at $4.72, spring wheat ended up at $6.55, down from last year and the cotton price is 69 cents, down from last year.
“Cotton probably stands out as the ugliest of the markets.”
Revenue protection insures farmers against yield losses from natural causes like drought or disease and revenue losses caused by a change in the harvest price from the projected price. Farmers can choose the higher price to be paid for crop losses, either the February base price or October harvest price.
He says market volatility lowered at the end of the month, which allows farmers to get more affordable coverage.
Morrison says while revenue protection is a popular selection, Enhanced Coverage Option is a “blue light special” this year, with a higher government co-pay and a discount to farmers for corn and soybeans.
“I think a lot of producers are going to look at ECO hard this year, not only as a way to cover costs, but to me, a marketing tool as a put option.”
The deadline for Midwest farmers to sign-up for revenue protection is March 17.
