LRP participation stays steady as producers manage risk in 2026
The Livestock Risk Protection (LRP) program helps cattle and swine producers protect against unexpected price declines. It covers feeder cattle, fed cattle, and swine and is supported by the U.S. Department of Agriculture.
In recent years, participation in LRP has increased. A Southern Ag Today article from August 2025 reported that the number of cattle covered by LRP policies rose by 25% from 2023 to 2024 and by another 21% from 2024 to 2025. These increases followed improvements in market prices and important updates made by USDA to the LRP program.
LRP policies operate on a fiscal year running from July 1 to June 30. With less than three months remaining in fiscal year 2026, current participation provides insight into producer behavior during a time of strong cattle prices.
So far, 5.93 million heads of cattle have been covered under LRP policies in FY2026. This is slightly lower than the 6.03 million head covered at the same time in FY2025, with a decrease of 1.65%.
Cattle prices are expected to remain strong in 2026 due to historically low cattle inventories, slow herd rebuilding, reduced supplies of fed cattle, and steady beef demand. Even with this positive outlook, producers continue to invest in LRP coverage.
This trend shows that cattle producers value risk management. Many are willing to pay premiums to establish a price floor and protect their operations from possible market declines, even when prices are expected to stay high. LRP remains an important tool for managing uncertainty in the cattle industry.
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