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Abstract

This study estimates average per acre indemnity payments for Iowa corn for traditional multiple-peril crop insurance and two revenue insurance products, Crop Revenue Coverage and Income Protection. Yield and price difference distributions are formed and employed in 1,000 simulation runs. From these simulations, corn yields for all 99 Iowa counties and futures prices are collected. These are used to calculate per acre indemnities under the three insurance products. Income Protection has the smallest per acre indemnities across the state, followed by multiple-peril and Crop Revenue Coverage. Per acre indemnities are the lowest in northwest Iowa and highest in southeast Iowa.

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