Buy-up coverage.

CFR · 2024-01-01 · US · Title 7

(a) For purposes of receiving buy-up MPP-Dairy coverage, a participating dairy operation may annually elect during an annual election period the following for the succeeding calendar year: (1) A coverage level threshold for margins that, per cwt, is equal to one of the following: $4.50, $5, $5.50, $6, $6.50, $7, $7.50, or $8; and (2) A percentage of coverage for the production history from 25 percent to 90 percent, in 5-percent increments. (b) In the absence of any such election, the applicable coverage level provided, with no premium due, is catastrophic level coverage. (c) A participating dairy operation that elects margin protection coverage above $4 is required to pay an annual premium based on coverage level and covered production history in addition to the administrative fee. Tier 1 applies to covered production history up to and including 4 million pounds; Tier 2 applies to covered production history above 4 million pounds. (d) The premium per cwt of milk, based on the elected percentage of coverage of production history is specified in the following table. (e) The annual premium due for a participating dairy operation is calculated by multiplying: (1) The covered production history; and (2) The premium per cwt of milk specified in paragraph (d) of this section for the coverage level elected by the dairy operation. (f) In the case of a new dairy operation that first registers to participate in MPP-Dairy for a calendar year after the start of the calendar year, the part

official document · source cfr-2024 · id 7:§ 1430.107