What do Yield Floors (YF) function to prevent?

Yield Floors (YF) are designed to ensure that a producer's approved yield does not fall below a specified percentage of the county's T-yield, or transitional yield. This mechanism serves as a safety net for farmers, particularly in situations where yields could be adversely impacted by factors such as adverse weather, disease, or pest infestations. By establishing a minimum yield level, Yield Floors help guarantee that farmers have a baseline level of productivity for insurance purposes, protecting them against significant losses.

This approach is essential in balancing risk within the insurance framework, as it provides support to producers who may face lower yields compared to their previous production history or the average yields in their county.

The other options do not accurately reflect the purpose of Yield Floors. For example, Yield Floors do not limit how much a yield can exceed a county average, as they are intended to prevent underproduction rather than capping overproduction. Similarly, they do not have any direct influence on planting timelines or the processing of insurance claims.