What does Trend Adjustment (TA) enable the insured to do?

Trend Adjustment (TA) is a provision within crop insurance that allows the insured farmer to increase their Actual Production History (APH) yield based on the historical yield trends of their county. This adjustment takes into account improvements in agricultural practices, technology, and climatic advances that have historically led to increases in crop yields. By applying TA, the insured can benefit from a potentially higher APH yield, which, in turn, can influence the insurance coverage levels and payouts in the event of a loss.

Choosing to increase the APH reflects a more accurate representation of what farmers can realistically expect to produce, given advancements in farming techniques and overall yield potentials in the region. This adjustment is particularly beneficial for farmers in areas where yields have been improving over time, as it can better align the insurance coverage with actual market conditions and productivity.