Livestock Gross Margin Insurance for Dairy Cattle

This section of our website provides information concerning the Livestock Gross Margin for Dairy (LGM-Dairy) program made available by the Risk Managment Agency of USDA.   The site will be under construction over the next few months as new information becomes available and related new materials are added.  Please come back often to see what's new.

As with other sections of this website by clicking on an active link, you may generate an expanded menu.  To make this menu disappear, click on the link again.  If you have material that you think you would find useful please contact Prof. Brian W. Gould with your suggestions.

• Background Material Made Available by the RMA

  This is a collection of information provided by USDA as to introduce the LGM-Dairy program

  • LGM-Dairy:  Frequently Asked Questions
    • PDF File
    • RMA Web Based
  • LGM-Dairy:  Step-by-Step Instructions on How to Calculate Premiums
  • LGM-Dairy:   Underwriting Rules
  • LGM-Dairy:   Handbook (#20080)
  • LGM-Dairy:   Commodity Exchange Endorsement
  • LGM-Dairy:   Basic Provisions, Terms and Conditions
  • LGM-Dairy:   June 2, 2008 Program Announcement
  • LGM for Cattle RMA Website
• Supporting Software

  This is a collection of spreadsheet and other software used to exemplify the use of LGM-Dairy

  • LGM-Dairy:   A non-stochastic example of LGM-Dairy
  • Extensive Grain/Concentrate/Forages Feed Conversion Rates (Source:  1995 Dairy Reference Manual)
  • RMA's Premium Calculator
• Underlying Data

  This is a collection of data used in the implementation of LGM-Dairy

  • Milk and Corn Basis by Month and State
  • Extensive Grain/Concentrate/Forages Feed Conversion Rates (Source:  1995 Dairy Reference Manual)
  • Feed Conversion Rates As Specified in the RMA Supporting Material
  • Dairy Reference Manual:   Use of Feed Conversion Factors
  • Effective Program Months
  • Nutrient National Research Council's Nutrient Composition of Feeds publication (PDF)
• Other Material

  Background Material Related to LGM-Dairy

  • USDA's Gross Margin Insurance Program for Dairy:   What is it and Can it be Used for Risk Management (Final Version), by B.W. Gould, P. Mitchell and V. Cabrera, Univ. of Wisconsin, Aug. 2008
  • Livestock Gross Margin Insurance for Dairy:  A New Risk Management Tool Available for Dairy Producers , by M. Valvekar, V. Cabrera and B.W. Gould, Univ. of Wisconsin, August 2008
  • Livestock Gross Margin (LGM) for Dairy, by Bruce Babcock, CARD, Iowa State University, Sept. 2007
  • Managing the Newly Created LGM-Dairy Insurance Under Seasonal Climate Variability, by V.E Cabrera and Daniel Solis, University of Wisconsin-Madison, June 2008
  • A 2-page Fact Sheet Describing the LGM-Dairy Insurance Program, by Dairylea Cooperative, July 2008
  • A 2-page Example Showing the Use of the LGM-Dairy Insurance Program, by ARMtech Insurance Services, July 2008
  • Livestock Gross Margin (LGM) for Dairy, by K. Bodley and K. Rossini, July 2008
  • Livestock Gross Margin for Dairy, a two-page/three-fold brochure, Sept. 2008
  • LGM-Dairy:   Livestock Gross Margin for Dairy, a Powerpoint Presentation presented at the Eastern Wisconsin Farm Management Update Seminar, Sept. 12, 2008
  • LGM-Dairy:   A Wisconsin Example, a Powerpoint Presentation presented at the Eastern Wisconsin Farm Management Update Seminar, Sept. 12, 2008