The USDA’s Risk Management Agency (RMA) announced a series of updates to the Livestock Risk Protection (LRP), Livestock Gross Margin (LGM) and Dairy Revenue Protection (DRP) insurance programs beginning with the 2027 crop year.
“These updates expand coverage options, update eligibility definitions and strengthen program consistency across RMA’s livestock portfolio,” said RMA Administrator Pat Swanson. “These enhancements are another way we are putting Farmers First. We want to ensure that livestock and dairy operations across the country have the best tools available to manage risk.”
RMA said several updates will apply uniformly across LRP, LGM and DRP. Those changes include adding subsidy capture language to address off-exchange contracts, updating the definition of beginning farmer or rancher and subsidy percentages to align with the One Big Beautiful Bill Act, permitting concurrent coverage between similar livestock programs and allowing policies that have not earned premium for three consecutive years to be subject to cancellation.
Additional changes include revising the transfer-of-coverage language to clarify when coverage can be transferred and updating the general policy language to be consistent with other RMA insurance products.
Under the LRP program, which protects livestock producers against declining market prices, RMA approved several program-specific updates. The agency expanded guidelines for the forage disaster exemption to address extended drought and other natural disasters and established specific grazing dates for when the exemption may apply.
RMA also increased the maximum weight threshold for fed cattle types, extended Cull Cow coverage to a maximum of 52 weeks and added three new feeder cattle types: Unborn Bulls and Heifers Weight 2, Unborn Brahman Weight 2 and Unborn Dairy Weight 2. Those new categories cover livestock weighing between 6 and 9/cwt, broadening coverage options for producers with unborn livestock.
Changes to the LGM program, which protects cattle, dairy and swine producers against declines in gross margins, include increasing the maximum insurable weight for LGM Cattle to 1,800 pounds. The agency also revised target weight definitions for feeder cattle and live cattle, increasing allowable target weights for both yearling and calf finishing operations.
In addition, RMA modified the definition of “share” under LGM Cattle to require producers to own calves for at least five months in yearling finishing operations or eight months in calf finishing operations.
For dairy producers, the DRP program received one key update. RMA moved the sales period end date to the following calendar day, making the program consistent with the sales period structure used in other livestock insurance programs.
RMA noted LRP, LGM and DRP are available in all states and counties. Producers interested in coverage can work through private crop insurance agents, with additional information available through the RMA Agent Locator at tinyurl.com/2wnwan49. — Charles Wallace, WLJ contributing editor
