Ranchers in the western United States now have access to a range of federally subsidized crop insurance products to facilitate their ability to manage hayland and grazingland production risks. Many of these insurance plans address multiple perils such as drought, hail, fire, and insect infestation.

In recent years, however, ranchers in western states have begun to use a single peril insurance product, the Pasture, Rangeland, Forage Rainfall Index (RI‐PRF) plan to provide protection against losses of hay and forage production caused by a single peril, inadequate precipitation.

The Pasture, Rangeland, Forage Rainfall Index (RI‐ PRF) plan is described, illustrated, and evaluated for its usefulness to ranchers in this policy paper.

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In 2003, RMA introduced a Livestock Risk Protection (LRP) insurance product to offer protection against unexpected reductions in the prices expected for livestock at the time the producer anticipates the livestock will be sold.

The purpose of LRP is offset the risk of price declines below the price, as established by RMA, that is expected to exist at the time the livestock covered under the policy are expected to be sold.

The focus of this briefing is to describe the LRP for feeder cattle, the category of livestock raised most extensively in many western states, and the potential use of LRP as a price risk management tool by producers in those states.

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