Department of Agricultural Economics Department of Agricultural Economics - Main

Department of Agricultural Economics Extension

ARC/PLC & Crop Insurance

The Commodity title of the farm bill (Title I) contains the farm safety net. Two programs are available. The Agricultural Risk Coverage (ARC) program is an average crop revenue election program that pays when the actual per-acre revenue for the county falls below the revenue guarantee. The Price Loss Coverage (PLC) program is a counter-cyclical price program that pays when the national average marketing year price for a covered crop falls below its “reference price.”

For an overview of the two programs, visit the USDA-Farm Service Agency landing page

Factsheet: Looking Back at the 2014 Farm Bill for more information on ARC and PLC elections by commodity in Oklahoma for the last farm bill, and how those programs paid out.

Crop Insurance

Crop insurance is in Title XI of the farm bill, and crop insurance programs may protect farmers from market downturns or adverse weather events. The 2018 farm bill maintained many of the crop insurance options of prior farm bills, including the Supplemental Coverage Option (SCO) and, on a more restricted basis, the Stacked Income Protection Plan (STAX).

Factsheet: Supplemental Coverage Option for Winter Wheat Producers

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