When is a payment made under the Group Risk Plan (GRP)?

A payment is made under the Group Risk Plan (GRP) when the county yield falls below the chosen trigger level. This plan is designed to provide coverage based on the overall yield of a specified area rather than the individual farm's yield, making it a community-based approach. If the average yield in the county drops below the predetermined trigger level, farmers who have enrolled in GRP are eligible for a payment calculated based on their share of the overall loss in the county. This approach supports farmers by alleviating losses incurred due to widespread adverse conditions affecting the region's crop yield.

The other choices do not align with how GRP operates; for instance, personal revenue exceeding farm expenses is irrelevant in terms of GRP payment triggers, as the program is specifically tied to county yields rather than individual farm financial performance. Payments are not automatically distributed at the end of the crop year regardless of yield and are also not contingent upon raising the trigger level, which would typically affect future coverage rather than current payouts.