Variable Interval Product (VIP) is a non-federally reinsured, supplemental crop insurance policy that provides the potential for a higher revenue protection guarantee than the base coverage established on the underlying Revenue Protection (RP), Area Revenue Protection (ARP), Enhanced Coverage Option (ECO), Margin Protection (MP) or MP with Harvest Price Option (MP-HPO) plans of insurance. Producers may add one or more alternative price discovery periods (intervals), of which the highest would be used to establish the revenue guarantee for loss purposes when applicable. A VIP policy may have a loss if the selected interval’s price is higher than the Projected and Harvest Prices
Endorsement Options
The Multi-Practice Endorsement provides more flexibility by giving producers the ability to customize their coverage for irrigated and non-irrigated practices with distinct coverage levels.
When more than one practice exists on a policy, losses are paid on an enterprise unit by practice
basis (within a county).
The Margin Protection Input Cost Endorsement (ICE) is available on both MP and MP-HPO plans
with options between 5% and 10% in 1% increments. This election sets a maximum decline on
input cost from expected to final cost.
Coverage will apply to no more than 110% of the greater of:
- The number of acres you intend to plant, without considering share; or,
- The greatest number of acres planted under any MPCI policy in your county for the crop in any one of the most recent four calendar years, without considering share. These acres must not be disallowed by the premium quotation tool.
Note: If you are planting in a county where you have no history, you may insure no more than 110% of the intended acres you declared at the time you applied for this policy. You may be required to provide evidence to support your estimate.
If you are interested in electing or selling VIP, email info@hudsoncrop.com.
The information contained in this publication is for general purposes only and shall not modify the terms of any insurance policy.
