“I would have lost $1.4 million this year if it weren’t for my Band coverage.”
A Summary of Ida's Year
Total Gross Margin Coverage:
Actual Gross Margin:
Claim Paid Out:
Ida and three generations of her family run the farm as a joint venture. They were looking specifically for an insurance product that would give them price protection and be stackable with their existing insurance. They knew exactly where the gaps in their coverage were and wanted to get those filled in with the right product at the right price.
They had looked into other band coverage, but what Global Ag Risk Solutions offered seemed like the best fit for them. Ida also liked the customer service that Global Ag Risk offered throughout the process and the simplicity of the reports.
Ida knew that the coverage would be right for their farm because it was based on their historic numbers, not just their location or an average that didn’t really apply to them.
Average Gross Margin
They decided on an amount of coverage higher than what their traditional crop insurance covered, with just a little overlap to cover exactly the risk they needed more protection on.
Gross Margin Coverage
Even though price protection was Ida’s number one goal with getting Global Ag Risk coverage, they ended up with so much more.
A few rounds of summer hail swept through that damaged a significant amount of crop, followed by a rare August frost that degraded even more of what they could get off the field. Both snow and rain during harvest meant getting that meager harvest off the field was a challenge in itself. Overall yield and grade were severely diminished in what they could recover, and they ended up in a claim.
Actual Gross Margin
Total Gross Margin Coverage
Actual Gross Margin
Price, which they initially wanted coverage for, ended up being one of the few things Ida didn’t need protection for this year. But, with their Global Ag Risk policy, Ida and her family were saved from a whopping $1.4 million loss. Needless to say, they were incredibly happy with the level of coverage their policy gave them.