SCO+ is an endorsement to your SCO policy that offers individual protection above the county protection of your underlying plan. SCO+ provides farm-level coverage if you, or both the county and you, experience a loss.
How Does it Work?
- Your SCO+ doesn’t have to follow SCO selection, option to choose Revenue or Yield protection
- Example: RP underlying policy with SCO revenue and SCO+ yield policy
- Available in two bands of coverage: 75%-86% or 80%-86%
- Option for different bands based on crop, practice, and/or SCO plan type
- Coverage must be elected by the sales closing date for your underlying policy
What Are the Benefits?
- Offers individual loss coverage on top of underlying plan
- Doesn’t have to follow underlying coverage, option to choose Revenue or Yield protection
- Follows same FSA requirements as SCO coverage
DOWNLOADS & RESOURCES
Product Brochure View coverage information, guidelines, and details.
InsureCast Podcast Optimizing Coverage with SCO, ECO, and Plus Products
ADDITIONAL INFORMATION
SCO+ is available in the same counties as SCO coverage. Covered crops include corn, soybeans, and winter wheat. In select states, coverage for wheat is available at the 70% coverage level. Fall wheat is available in KY, MI, MT, TN, and SD; spring wheat available in SD only; canola in ND only.
Indemnity
Indemnities are determined after RMA provides Final Yields/Revenues the following summer, which is a similar process to ECO, MP, and ARPI. Producers will receive the higher of an SCO or SCO+ payment or a combination
of both.
- County loss only = possible SCO payment
- Individual loss only = possible SCO+ payment
- Both individual and county loss = possible payment from either SCO or SCO+
SCO+™ Forward Plus
Add the SCO+ Forward Plus endorsement to your revenue or yield policy stack to secure coverage for higher fall prices if your liability, or Production to Count, falls below your SCO+ guarantee and the Harvest Price is higher than the MPCI Projected Price.
NEW! Band Stacking
Combine any RAMP, ECO+™ or SCO+™ products from FMH with new band stacking. This option allows you to secure any of these coverages together with a max overlap of 1%. For example, opt to secure a Revenue Protection policy at 75% coverage level with added SCO, SCO+ and RAMP policies.
SAMPLE CALCULATION
| MPCI Coverage: 75% Revenue Protection | Production to Count: 15,000 bushels |
| Coverage Band: 86% - 80% | Approved Yield Revenue: $80,000 |
| Upper % of Coverage Band: 86% | MPCI Projected Price: $4.00 |
| Coverage Spread: 6% | MPCI Harvest Price: $3.50 |
| Acres: 100 | Share: 100% |
| Approved Yield: 200 bu./acre | ECO Indemnity: $500 |
Determine the Total Limit of Insurance | |
| 75% x $4.00 Projected Price x 6% Coverage Spread x 200 APH x 100 acres x 100% Share = $3,600 Total Limit of Insurance | |
Determine the Harvest Revenue | |
| 15,000 Production to Count x $3.50 Harvest Price = $52,500 Harvest Revenue | |
Determine the Loss Percentage | |
| 86% – [52,500 Harvest Revenue/$80,000 Approved Yield Revenue] =
20.37% Loss Percentage
(Cannot be greater than the coverage band spread so 6% is used instead) | |
Determine Payment Factor | |
| 6%/6% = 1.0000 Payment Factor | |
Calculate the SCO+ Indemnity | |
| $3,600/acre - $500 SCO Indemnity = $3,100 SCO+ Payment | |
* This sample is for example purposes only. Contact an FMH agent for full details.