Use of Supplemental Coverage Option by Crop
Current use of SCO is relatively highest for crops associated with the South and relatively lowest for crops associated with the Midwest. Assuming current use is an indicator of future use, increases in SCO’s subsidy and coverage level will likely have the most relative benefit for crops associated with the South and the least relative benefit for crops associated with the Midwest, although both sets of crops will likely increase their use of SCO since farm-paid premiums will be lower.
Revenue Insurance Payment Scenarios for Corn and Soybeans in 2024
Today’s farmdoc daily article examines potential revenue insurance payments for corn and soybeans for a range of prices and yields around current expectations. Price declines thus far would not trigger payments from individual products like RP and RP-HPE at even their highest coverage level unless small yield losses also occur. Payments would however be triggered for the supplemental plans, SCO and ECO, if county yields equal, or come in below, expected levels.
Performance of SCO and ECO in the Midwest
Supplemental Coverage Option (SCO) is a county-level insurance product that adds a band of coverage over the underlying COMBO crop insurance product up to an 86% coverage level. Enhanced Coverage…
![](https://farmdoc.illinois.edu/wp-content/uploads/2019/04/logo-ifarm-2019.png)
The farmdoc Crop Insurance section offers iFARM online tools including the Premium Calculator, Payment Evaluator and Price Distribution Tool. These tools are updated annually during the Spring crop insurance election period.