By Jamie Martin
The Livestock Risk Protection (LRP) program allows cattle producers to protect themselves from sudden price drops. The program covers feeder cattle, fed cattle, and swine and plays a key role in farm risk management.
LRP participation has grown significantly in recent years. From 2023 to 2024, the number of cattle covered under LRP policies increased by 25%. Participation continued to rise in 2025, with a 21% increase compared to the previous year. These gains followed changes made by USDA to improve the program and higher market prices for cattle.
The LRP fiscal year runs from July 1 through June 30. As fiscal year 2026 approaches its final months, participation levels suggest continued confidence in the program. Currently, 5.93 million heads of cattle are covered under LRP policies, compared to 6.03 million heads at the same point last year. This represents a small decline of 1.65%.
Cattle prices are expected to remain strong in 2026 due to low cattle numbers, slow herd rebuilding, limited fed cattle supplies, and ongoing consumer demand for beef. With prices projected to stay high, some may question the need for price protection.
However, producers continue to use LRP to reduce downside risk. The steady level of participation shows that many see value in securing a price floor and protecting their operations from unexpected market changes. LRP remains a trusted risk management tool, even in strong market conditions.
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Categories: National