Actual Production History
Actual Production History (APH) policies insure you against yield losses due to natural disasters. For most crops, this includes drought, excessive moisture, hail, flood, wind, cold and frost, insects, and disease. With an APH policy, you can select the amount of average yield you would like to insure between 50 and 75 percent (though some areas allow up to 85 percent). You can also select the percent of the predicted price to insure, choosing anywhere between 55 and 100 percent of the crop price established annually by the RMA.
For an APH plan, you are guaranteed a yield based on your actual production history. If your harvested and any appraised production (known as production to count) is less than the yield insured, you will receive an indemnity payment for the difference. Indemnities are calculated by multiplying that difference by the selected insurance percentage of the price, and the insured share. To learn more about actual production histories, and production reporting, take a look at our article on Production Reporting and Crop Insurance!
