The 2026 crop year begins on July 1, 2025.
Billing date for endorsements booked on July 1, 2025 or later:
- You will be billed 2 months after the endorsement expires instead of 1 month.
- Example: The endorsement expires in November 2025. The first bill will go out in early January 2026.
New term – subsidy capture:
- Subsidy capture is an attempt to recover the LRP premium cost by using futures or options as an offsetting position to the LRP in close proximity to the date the endorsement was booked.
- RMA can now ask for your trading account transaction statements.
- If RMA determines you traded for the purpose of subsidy capture or you refuse to provide trading account records, claims will be denied and premium will still be owed.
- You will need to sign a certification statement that you did not trade for the purpose of subsidy capture.
Insuring cattle based on purchase agreements:
- Ownership interest can be based on a valid livestock purchase agreement, even if the livestock is not yet in your physical possession.
- Must take possession of covered livestock no later than 90 days prior to the SCE end date.
- For example:
- You complete a purchase agreement to buy cattle on August 30. You then book an LRP endorsement on Sept. 1 that expires on Jan. 15.
- You must take possession of the cattle by Oct. 15
New fed cattle type – cull cows:
- provides coverage for dairy cull cows
- coverage is limited to 13 weeks
For fed cattle and sold feeder cattle, to receive an indemnity you must provide:
- Documents verifying the sale of all covered livestock sold no later than 60 days after the end date
- If the feeder cattle are unsold more than 60 days after the end date, you must sign a certification statement
Drought exemption for feeder cattle only:
- Based on the Drought Coverage and Severity Index in the county where the cattle are located
- If you qualify for a drought hardship exemption, you can still be eligible for a claim if you sold the livestock more than 60 days before the endorsement end date.
Reminders for booking an LRP endorsement:
- LRP quotes are released every day the markets are open (with some exceptions). Quotes are usually out by 3:30 pm Central.
- Quotes expire at 8:25 am Central the next morning.
- The endorsements must be signed, entered into AgriSompo’s system, and uploaded to AgriSompo, all before 8:25 am Central.
- We prefer to book endorsements in the evening, rather than at 8:00 am the next morning. You can call Amy’s cell at 701-306-8873 or Randy’s cell at 701-446-7610 to book LRP after our office closes for the day.
- We have an automated system that emails LRP quotes. Please let us know if you want to be added to those emails or change the types and weights you are currently receiving.
