Revenue, Expense, and Coverage Level
• Average farm revenue = $1,300,000
• Average expenses = $650,000
• Coverage level = 75%
• Actual revenue = $750,000
Loss Calculation
$1,300,000 x .75 coverage level = $975,000 insured revenue
$975,000 - $750,000 actual revenue = $225,000 payable loss
Expanding Farm Operation
If a farm has been expanding over the past few years, the expected revenue to insure can be higher than its historical average. WFRP provides an indexing factor in this scenario to better match the projected revenue to be insured.
Important Dates
Sales Closing Date: February 28th
Farm Reporting Dates:
Calendar Year Tax Return: July 15th
Fiscal Year Tax Return: October 31st
Coverage Qualifications/Eligibility
• The farm has been in business for six years.
• At least 50% of the farming operation is in a county where WFRP is available with the balance in a neighboring county.
• The revenue protection limit is $8.5 million (see table below).
• A buy-up coverage level is selected for crops insured under a standard Federal crop insurance plan.
• No more than 50% of the total revenue can be from crops purchased for resale.
| Coverage Level |
Min # Commodities |
Maximum Revenue |
| 85 |
3 |
$10,000,000 |
| 80 |
3 |
$10,625,000 |
| 75 |
1 |
$11,333,333 |
| 70 |
1 |
$12,142,857 |
| 65 |
1 |
$13,067,923 |
| 60 |
1 |
$14,166,167 |
| 55 |
1 |
$15,454,545 |
| 50 |
1 |
$17,000,000 |
Premium Subsidy
Farms growing two or more crops can receive up to an 80 percent subsidy!
Download WFRP Datasheet (PDF)