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Margin Coverage Option

Acronym
MCO

PM-26-036: Enhanced Coverage Option, Margin Coverage Option, and Supplemental Coverage Option Endorsement Changes Effective for the 2027 and Succeeding Crop Years

BACKGROUND:

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”, officially designated as H.R.1) was signed into law. OBBBA allowed the Supplemental Coverage Option (SCO) Endorsement to be purchased regardless of an insured’s Area Risk Coverage (ARC) election with the Farm Service Agency and increased the maximum coverage level from 86 to 90 percent. On August 15, 2025, the Federal Crop Insurance Corporation (FCIC) Board of Directors approved corresponding coverage level changes for the Enhanced Coverage Option (ECO) and Margin Coverage Option (MCO) Endorsements.

Actuarial Release 25-037

As of September 17, 2025 the following information is now available on the FTP site:

  • 2025 Actuarial Data Master for the 6/30, 11/30 Filing Date, YTD, and Daily Files.
  • 2026 Actuarial Data Master for the 6/30 Filing Date, YTD, and Daily Files.

Users can find this information in the following directories:

MGR-25-006: One Big Beautiful Bill Act Amendment

BACKGROUND:

The One Big Beautiful Bill Act (OBBBA), enacted on July 4, 2025, made changes to the Federal Crop Insurance Act. These changes include expanding benefits for beginning farmers and ranchers, increasing coverage options, and making crop insurance more affordable. With this bulletin, the Risk Management Agency (RMA) is implementing sections 10303(b) (Area Risk Coverage and Supplemental Coverage Option Interaction), 10501 (Beginning Farmer and Rancher Benefit), 10502 (Area Based Crop Insurance Coverage and Affordability), and 10504 (Premium Support) of the OBBBA.

Actuarial Release 25-021

As of June 09, 2025 the following information is now available on the FTP site:

  • 2026 Actuarial Data Master for the 6/30 Filing Date, YTD, and Daily Files.
  • 2026 Special Provisions for the 6/30 Filing Date.

Users can find this information in the following directories:

  • 2026 Actuarial Data Master are in the References/Actuarial_Data_Master/2026 directory.
  • 2026 Special Provisions are in the Special_Provisions/2026 directory.

Additional notes and details regarding this data release:

Margin Coverage Option

Margin Coverage Option is a privately developed product that was submitted to the FCIC Board under Section 508(h) of the Federal Crop Insurance Act. Margin Coverage Option is offered as an endorsement for select crops. The endorsement provides producers with coverage against an unexpected decrease in their operating margin with a 86% to 95% band of insurance.