Enhanced Coverage Option (ECO) Endorsement Effective for the 2021 and Succeeding Crop Years

Informational Memorandum: PM-20-078

FCIC has approved the implementation of the Enhanced Coverage Option (ECO), available for the 2021 crop year for select crops with a contract change date of November 30, 2020 or later.

ECO provides area-based coverage for a portion of the policyholder’s underlying policy deductible like the Supplemental Coverage Option (SCO). The underlying policy must be insured under Yield Protection, Revenue Protection, or Revenue Protection with the Harvest Price Exclusion. It uses the same expected and final area yields, projected and harvest prices and payment factors as SCO. ECO covers a band from 86 percent (where SCO coverage ends) up to 90 or 95 percent of expected crop value.