Pasture and forage are the backbone of many Nebraska livestock operations, but they are also among the most vulnerable resources. Drought can quickly reduce forage production, leaving ranchers with tough choices of either buying expensive feed or cutting herd numbers. One tool available to manage this risk is the USDA’s Pasture, Rangeland, and Forage (PRF) Insurance. Unlike traditional crop insurance, PRF doesn’t ensure the actual forage grown on your operation. Instead, it’s based on a rainfall index for your area. If rainfall falls below the long-term average during the months you select, you may receive an indemnity payment.
Shannon Sand (Wed,) studied this question.