What is the most comprehensive form of Crop Revenue Insurance?

• A. Revenue Assurance
• B. Yield Protection
• C. Revenue Protection
• D. Basic Coverage

Answer: (C)

Crop Revenue Insurance is designed to protect farmers from loss of revenue due to price fluctuations and yield loss. The most comprehensive form of Crop Revenue Insurance is Revenue Protection. This type of insurance provides a safeguard against both a decrease in crop yields and a decline in market prices, ensuring that the farmer receives a higher level of coverage than with other plans.

Revenue Protection not only covers the loss of yields but also takes into account the market prices at the time of the loss. This dual protection helps farmers maintain their expected revenue despite adverse conditions, making it the most robust option available. It allows producers to ensure their income is safeguarded against unpredictable market factors as well as physical losses due to natural events.

The other forms of coverage, while beneficial, do not offer the same level of financial protection. For example, Yield Protection focuses solely on the yield loss without factoring in price changes. Revenue Assurance combines both yield and price considerations but may have limitations compared to Revenue Protection, which consistently provides the best financial safeguard. Basic Coverage does not reflect the comprehensive approach of the more advanced options, leaving gaps in risk management for farmers.

Overall, Revenue Protection addresses both critical factors that affect a farm's income – yield and market prices, making it the best choice for comprehensive coverage in crop