The Standard Reinsurance Agreement (SRA) and the Livestock Price Reinsurance Agreement (LPRA) are
cooperative financial assistance agreements between the Federal Crop Insurance Corporation (FCIC) and
an insurance company. FCIC is a government corporation within USDA authorized to carry out programs of
the Federal Crop Insurance Act. The Risk Management Agency acts on behalf of FCIC to administer all
Federal crop insurance programs.
The SRA and LPRA establish the terms under which FCIC provides reinsurance and subsidies on eligible crop
insurance contracts sold by the insurance company. By regulation, an insurance company must be in good financial
standing and in compliance with the state laws where domiciled and writing business prior to being considered for
approval of an SRA or LPRA.