{
  "slug": "crop-insurance-revenue-protection",
  "title": "Crop Insurance Revenue Protection Payout Calculator",
  "heading": "Crop Insurance Revenue Protection Payout Calculator",
  "category": "financial",
  "url": "https://www.revenuelab.fyi/toolbox/crop-insurance-revenue-protection",
  "summary": "Estimate an RP crop insurance indemnity from yield and price outcomes.",
  "description": "Revenue Protection (RP) policies, the most common crop insurance product for corn and soybeans, pay out when actual revenue falls below your guaranteed revenue, and the guarantee itself can increase if harvest price rises above the projected price — that upside feature is what distinguishes RP from the older revenue products. This calculator takes your approved APH yield, elected coverage level, projected and harvest futures prices, and actual yield to compute the guarantee, actual revenue, and any indemnity owed. It's an estimate for planning purposes; your actual settlement depends on the specific county, practice, and unit structure filed with your policy, and you should always confirm real numbers with your crop insurance agent before making marketing decisions off of it.",
  "formula": "Guarantee = APH × coverage % × max(projected price, harvest price); actual revenue = actual yield × harvest price; indemnity = max(0, guarantee − actual revenue) × acres.",
  "dateModified": "2026-09-30",
  "run_url": "https://www.revenuelab.fyi/api/public/calc?tool=crop-insurance-revenue-protection",
  "inputs": [
    {
      "id": "aph",
      "label": "Approved APH yield",
      "kind": "number",
      "hint": null,
      "default": 180,
      "unit": "bu/acre",
      "min": 10,
      "max": null
    },
    {
      "id": "coverageLevel",
      "label": "Coverage level",
      "kind": "number",
      "hint": null,
      "default": 80,
      "unit": "%",
      "min": 50,
      "max": 85
    },
    {
      "id": "projectedPrice",
      "label": "Projected (spring) price",
      "kind": "number",
      "hint": null,
      "default": 4.6,
      "unit": "$/bu",
      "min": 0.5,
      "max": null
    },
    {
      "id": "harvestPrice",
      "label": "Harvest price",
      "kind": "number",
      "hint": null,
      "default": 3.9,
      "unit": "$/bu",
      "min": 0.5,
      "max": null
    },
    {
      "id": "actualYield",
      "label": "Actual yield",
      "kind": "number",
      "hint": null,
      "default": 155,
      "unit": "bu/acre",
      "min": 0,
      "max": null
    },
    {
      "id": "acres",
      "label": "Insured acres",
      "kind": "number",
      "hint": null,
      "default": 400,
      "unit": null,
      "min": 1,
      "max": null
    }
  ],
  "outputs": [
    {
      "id": "totalIndemnity",
      "label": "Estimated total indemnity",
      "format": "currency",
      "hint": null,
      "primary": true
    },
    {
      "id": "indemnityAcre",
      "label": "Indemnity per acre",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "guaranteeRevenueAcre",
      "label": "Guaranteed revenue per acre",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "actualRevenueAcre",
      "label": "Actual revenue per acre",
      "format": "currency",
      "hint": null,
      "primary": false
    }
  ],
  "worked_example": {
    "inputs": [
      "Approved APH yield: 180 bu/acre",
      "Coverage level: 80 %",
      "Projected (spring) price: 4.6 $/bu",
      "Harvest price: 3.9 $/bu",
      "Actual yield: 155 bu/acre",
      "Insured acres: 400"
    ],
    "outputs": [
      "Estimated total indemnity: $23,160",
      "Indemnity per acre: $57.90",
      "Guaranteed revenue per acre: $662.40",
      "Actual revenue per acre: $604.50"
    ]
  },
  "how_to": {
    "title": "How to use this",
    "steps": [
      "Enter approved aph yield (bu/acre).",
      "Enter coverage level (%).",
      "Enter projected (spring) price ($/bu).",
      "Enter harvest price ($/bu).",
      "Enter actual yield (bu/acre).",
      "Enter insured acres.",
      "Read your estimated total indemnity on the right — it updates as you type.",
      "Hit Share to keep the scenario or send it to someone."
    ]
  },
  "scenarios": [
    {
      "name": "Conservative",
      "description": "Lower-end numbers — what if things land soft?",
      "values": {
        "aph": 108,
        "coverageLevel": 50,
        "projectedPrice": 2.76,
        "harvestPrice": 2.34,
        "actualYield": 93,
        "acres": 240
      }
    },
    {
      "name": "Typical",
      "description": "Defaults — the most common real-world setup.",
      "values": {
        "aph": 180,
        "coverageLevel": 80,
        "projectedPrice": 4.6,
        "harvestPrice": 3.9,
        "actualYield": 155,
        "acres": 400
      }
    },
    {
      "name": "Ambitious",
      "description": "Higher-end numbers — what if things really pop?",
      "values": {
        "aph": 288,
        "coverageLevel": 85,
        "projectedPrice": 7.359999999999999,
        "harvestPrice": 6.24,
        "actualYield": 248,
        "acres": 640
      }
    }
  ],
  "limitations": [
    "Results are estimates before tax, fees, and inflation unless an input explicitly covers them.",
    "Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.",
    "This is educational maths, not financial advice. Check anything contractual with the lender or your accountant."
  ],
  "faq": [
    {
      "q": "Why does the guarantee use the higher of the two prices?",
      "a": "RP's defining feature is that the revenue guarantee locks in using whichever is higher — the projected price set before planting or the harvest price at the end of the season. This protects against a scenario where yields are fine but a price rally still leaves you needing more bushels than you have to cover input costs."
    },
    {
      "q": "What's the difference between RP and RP with harvest price exclusion?",
      "a": "RP-HPE calculates the guarantee only from the projected price and ignores any harvest price increase, which typically costs less in premium but gives up the upside price protection that standard RP provides. Most producers who can afford it choose standard RP for that reason."
    },
    {
      "q": "Does a low actual yield always trigger a payout?",
      "a": "Not necessarily — if harvest price is high enough, actual revenue can still exceed the guarantee even with a below-average yield, because you're selling fewer bushels at a much higher price. RP is a revenue floor, not a yield floor."
    },
    {
      "q": "How does unit structure affect this?",
      "a": "This calculator assumes a single farm-level (optional or enterprise) unit. If you carry basic or optional units by section or FSA farm, indemnities are calculated separately per unit, which can produce a different total payout than treating the whole farm as one block."
    }
  ],
  "related": [
    "https://www.revenuelab.fyi/toolbox/cattle-breakeven-price",
    "https://www.revenuelab.fyi/toolbox/cash-rent-vs-crop-share",
    "https://www.revenuelab.fyi/toolbox/grain-drying-cost"
  ],
  "license": "CC-BY-4.0",
  "citation": "RevenueLab — Crop Insurance Revenue Protection Payout Calculator (https://www.revenuelab.fyi/toolbox/crop-insurance-revenue-protection)"
}