Price Loss Coverage

Price Loss Coverage (PLC) is a farm program that helps farmers manage income risk. When the market price of a particular crop falls below a predetermined target price set by the government, PLC provides a payment to compensate for the difference. This financial assistance aims to stabilize farmers’ income and reduce the financial impact of price drops. Farmers enroll their crops, and if market prices are low, they receive payments to help cover their costs, supporting their economic stability in years of market downturns.