NPPC: COVID-19 Demonstrates Need to Enhance Livestock Risk Protection Insurance Program

Pork producers in the United States want the Department of Agriculture to implement enhancements to the Livestock Risk Protection insurance program, known as LRP. The National Pork Producers Council and 26 state pork associations say the changes will mitigate the impact of unexpected declines in hog values from unanticipated events like the COVID-19 pandemic. NPPC President Howard A.V. Roth, says, the changes, if adopted, “would undoubtedly draw more hog farmer participants to the program and help offset losses caused by catastrophic events like the one we are experiencing today.” In a letter to USDA’s Federal Crop Insurance Corporation, NPPC requested an increased subsidy to make the program more affordable to livestock farmers, particularly when a risk management program is most needed but often cost-prohibitive. Further, NPPC seeks expansion of the coverage period to 52 weeks and an increase in the number of head eligible. The current maximum coverage period of 26 weeks, combined with limitations on the number of pigs that can be covered, have “significantly limited program participation.”