Crop & Livestock Income Protection (CLIP)
The Crop & Livestock Income Protection (CLIP) Insurance Program is currently being developed by AgriLogic Consulting along with the Texas Corn Producers Association and the Colorado Corn Growers Association. CLIP will provide an innovative form of umbrella revenue protection coverage intended to work in conjunction with two or more individual commodity Federal Revenue Protection (RP) programs.
CLIP will enable a wide range of producers to elect a higher level of coverage than they could otherwise afford due to savings associated with the risk diversification of having income from multiple commodities. Working in conjunction with individual RP programs will result in minimal administrative burden for producers and Approved Insurance Providers (AIPs) since the record requirements needed for CLIP are met through each individual RP program. An indemnity would be triggered when the operation’s overall revenue due to an insured cause of loss falls below the insurance guarantee at the selected CLIP coverage level for the operation. Once developed and approved by the Federal Crop Insurance Corporation Board of Directors, CLIP will be a federally subsidized crop insurance program available through AIPs.