Author: Chris Westpfahl

It’s essential to stay informed about your crop insurance options. With changes in coverage, it’s the perfect time to review your policies and explore additional protection. Two important options you can consider for your spring and fall crops: Supplemental Coverage Option (SCO) and Enhanced Coverage Option (ECO).

What Are SCO and ECO?

Both SCO and ECO are area-based insurance options that enhance your existing Multi-Peril Crop Insurance (MPCI) policy. These supplements help protect your farm against unexpected losses due to significant yield or revenue declines.

SCO – Supplemental Coverage Option

SCO provides extra coverage up to 86% by filling in the gap between your base policy deductible and the higher coverage levels. It’s ideal if you’re looking for a cost-effective way to boost your protection without breaking the bank. Plus, the government subsidizes up to 65% of the premium, making it an affordable option.

ECO – Enhanced Coverage Option

ECO offers even greater protection, covering your deductible for losses that extend from 86% up to 90% or 95% of your crop’s value. With subsidies increasing to 65% in 2025 (a substantial increase from the previous 44% subsidy), ECO is now more affordable than ever, providing enhanced security during unpredictable market shifts.

You can purchase SCO and ECO independently or together  to maximize your coverage. This flexibility is particularly helpful for managing your risk.

Why Should You Consider SCO and ECO?

• Affordability: With significant federal subsidies (up to 65%), these options allow you to enhance your coverage at a reduced cost.
• Flexibility: You can select either SCO or ECO—or both—based on your risk preferences, allowing you to tailor coverage to your specific needs.
• Protection: In addition to your base policy, these supplements provide a safeguard against unexpected events, like droughts, disease outbreaks, or price declines.

Next Steps

We recommend reviewing your current crop insurance policy to ensure you’re taking full advantage of available coverage. The deadline to make changes or enroll in new coverage for the 2025 crop year is March 17, 2025 (Spring Crop) and September 30, 2025 (Fall Crop).

Our team is here to help you navigate your options and secure the best protection for your farm or ranch.

Feel free to reach out to us with any questions or to schedule a consultation. Let’s make sure your operation is fully covered and ready for whatever the 2025 crop year brings!

Mark Rosengrants is the co-founder of Plains Insurance. He was born and raised in Baca County, Colorado, the flagship location of Plains, where his extensive farm and ranch background began. With experience in accounting and finance away from Southeastern Colorado, he eventually chose to pick up where he left off, returning to his roots in farming and ranching back home on the plains. Though he’s added to his depth of knowledge, including real estate and entrepreneurship, learning and growing in agribusiness will always have his heart. On any given day, you’ll find him in one of his favorite places—his ranches in Colorado and Arizona, or behind a book, learning something new to help his customers.

Q: What’s on your mind this month, Mark?

A: LRP [Livestock Risk Protection]

Q: What should people know about LRP

A: It’s a great way to protect against black swan events and factors that make the cattle market volatile, like mad cow disease, drought, feed shortages, and global demand. LRP provides a safety net when the cattle market declines below the insured amount. The 35% subsidy offsets any financial burden, offering further stability during positive market shifts. From an agribusiness perspective, LRP allows me to set a market minimum, creating a more consistent cash flow. If market values are greater than the insured value, that’s ideal—more cash flow, even while accounting for the subsidized premium. It’s a no-brainer!