Agricultural Risk Coverage

Agricultural Risk Coverage (ARC) is a government program that provides financial protection to farmers when crop yields or prices fall below certain levels. It offers payments to help offset income losses caused by bad weather, pests, or market fluctuations. By enrolling in ARC, farmers receive financial support during tough times, helping them manage risks and maintain their income stability. The program uses historical data to determine thresholds, ensuring assistance is targeted to true performance drops, thereby reducing monetary risks associated with farming unpredictability.