Farmers should not count on an Ag Risk Coverage (ARC) or Price Loss Coverage (PLC) payment for the 2022-crop marketing year, according to University of Illinois farmdoc agricultural economists. Farmers have until March 15 to make their safety net election. If an election is not changed, farmers will automatically be enrolled in the same option as last year.
When making an election and enrollment, the economists explain ARC-CO for soybeans and PLC for corn will give farmers the highest chance of payments. Farmers should also consider their risk management as PLC only covers price and ARC-CO covers revenue. If farmers want to purchase a Supplemental Coverage Option (SCO) crop insurance policy, they must select PLC for the commodity.
