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Actual Sale Price Calculator
ASP = Cash Selling Price – Premium Cost To Producer + Indemnity (if AEV < CP)
Cash Selling Price This is the actual cash price received in the local cash market when the livestock are actually sold.
Premium The producer’s premium cost for purchasing LRP insurance. The total premium price is found on the Specific Coverage Endorsement. Old premium costs are located on RMA’s LRP pricing page. Remember to multiply premium prices on the LRP pricing page by 87% to find the producer premium after subsidy, which should be entered above.
Indemnity Any indemnity received from the LRP insurance. An indemnity will only be paid if Actual Ending Value is less than the insured coverage price. If an indemnity is due, it will be equal to the Coverage Price minus Actual Ending Value. Coverage Prices and Actual Ending Values (posted after the ending date) can be found on the LRP premium pricing page.
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