APCO – Added Price Coverage Option – Corn & Soybeans

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What is APCO?

ARMtech’s Added Price Coverage Option (APCO) is a multi-faceted policy for corn and soybean growers that mitigates the risk of forward contracting by supplementing the coverage at which crops are insured.

Loss Indemnity

The amount payable for the APCO Unit will be determined as follows:

Calculate the Unit Indemnity (dollars) by subtracting the insured’s MPCI Production to Count from the APCO guarantee, then multiply the result times the MPCI Price Election, the APCO price election modifier, and the insured’s share.


Total Guarantee (bushels):

Approved Yield per acre X acres X MPCI coverage level percentage

Total Coverage (in dollars):

Approved Yield per acre X acres X projected price X MPCI coverage level percentage X APCO price election modifier

Any increase in the underlying MPCI policy price election (e.g. Harvest Price) that occurs during the crop year will not be used to increase the limit of insurance under APCO.


Corn and soybeans are eligible for APCO coverage in counties where MPCI coverage is available at 50%, 55%, 60%, 65%, 70%, 75%, 80%, and 85%. Catastrophic Coverage (CAT) is not eligible for coverage. APCO is available on Yield Protection (YP), Revenue Protection (RP), Revenue Plan with Harvest Plan Exclusion (RP-HPE), and Actual Production History (APH) plans.

  • The APCO policy does not provide coverage for replant or prevented planting.
  • The APCO policy does not provide coverage for any organic, experimental, or specialty types of corn or soybeans.

For each crop in a county, an insured may elect an APCO price election modifier from 1% – 20%, in increments of 1% (e.g. 1%, 2%, 3%, etc.). The MPCI policy coverage level added to the APCO price election modifier cannot exceed 100%. (For example, if the insured has elected an 85% coverage level on their MPCI policy, they may only elect up to a 15% price election modifier on their APCO policy.)

APCO Loss Example



This summary is for general illustration purposes only.