What type of crop insurance covers farm revenue as a whole rather than individual crops?

• A. Adjusted Gross Revenue (Crop Insurance)
• B. Comprehensive Crop Coverage
• C. Revenue Assurance Policy
• D. Total Farm Insurance

Answer: (A)

The type of crop insurance that covers farm revenue as a whole rather than focusing on individual crops is Adjusted Gross Revenue (AGR) insurance. This form of insurance is designed to provide a safety net for farmers by allowing them to insure their total farm revenue based on their past income. It takes into account the overall earnings from all crops rather than isolating coverage to specific types of crops grown on the farm.

This approach is particularly beneficial for farmers who grow multiple types of crops or who may not have consistent yields from year to year. AGR policies mitigate the risk of revenue loss due to factors such as market fluctuations, adverse weather, or other unforeseen events that can impact overall earnings. By covering the farm's total revenue, farmers have a more holistic protection strategy compared to other forms of crop insurance that concentrate solely on individual crops.

Other types of insurance mentioned, such as Comprehensive Crop Coverage or Revenue Assurance Policy, are focused more on specific crop yields or revenues rather than the entire farm's performance, which differentiates them from AGR insurance. Total Farm Insurance also primarily addresses various risks associated with farm operation but does not specifically provide revenue coverage in the same comprehensive manner as AGR insurance does.