Weighing MCO and ECO Endorsements for Crop Insurance in 2026

Finalize Your Crop Coverage Before Sept. 30

The 2026 crop year introduces new options – and more complexity – for farmers customizing crop insurance coverage. Margin Coverage Option (MCO) for wheat, corn and soybeans is the newest endorsement you can choose from to build protection beyond your base policy.

MCO joins Enhanced Coverage Option (ECO) and Supplemental Coverage Option (SCO) in the product offerings that, thanks to the One Big Beautiful Bill (OBBBA), all now come with a strengthened 80% federal premium subsidy.

The deadline to secure your protection with MCO, Margin Protection (MP) and fall wheat coverage is Sept. 30. And since MCO and ECO cannot be elected together, choosing the right top-end coverage for both fall and spring becomes a key decision by Sept. 30.

Understanding the Differences: MCO Versus ECO

The new MCO product is a mix between MP and ECO, although most comparable to ECO. MCO and ECO are both area-based products that extend protection from 86% up to 95% coverage, but their mechanics differ:

MCO includes protection against shrinking margins, meaning it accounts for both lower crop revenue and rising input costs – a key concern in today’s environment. ECO, on the other hand, focuses solely on revenue (price × yield) and uses the spring price discovery period.

Neither is better across the board. The right fit depends on how your farm is positioned – and what risks you're most concerned about.

How to Decide Between MCO and ECO

If you’re weighing your options between MCO and ECO, the main factor is often the projected price. Some prefer the fall price discovery for better odds at higher guarantees, which allows them to incorporate these into their marketing plans. Others will wait to compare spring pricing opportunities. Every year requires a fine-tuned strategy when looking at considerations for margin coverages versus ECO.  For example the strategy for corn and soybeans may differ based on the markets, volatility and near-term projections.

Historical data, detailed below, combined with current expectations can help inform your decision. Be sure you consider the possibility for market fluctuations due to the current trade environment, yield projections and other volatility when looking at unofficial price projections.

Both MCO and ECO offer meaningful coverage at a high subsidy level. So how do you decide?

• If you’re more comfortable with fall pricing, MCO could offer more advantageous revenue guarantees.
• If you prefer to see how the spring market unfolds, or if you anticipate inputs decreasing over the year, ECO may align better with your strategy.
• Compeer Financial’s risk tools and expertise can help you build the right combination of coverage for your farm.

What About SCO?

Supplemental Coverage Option (SCO) has also been enhanced for 2026:

• Subsidy increased to 80%
• Combinable with MCO or ECO for no coverage gaps
• Starting in 2027, the coverage band expands to 90% (up from 86%)

This makes SCO a valuable addition for farms wanting broader protection alongside base policy, especially when paired with an RP plan.

Next Steps Before Sept. 30

With more options – and more overlap – it’s easy to feel overwhelmed. But with the right tools and guidance, you can design a coverage strategy that supports your operation's goals.

Our crop insurance team can help you:

• Understand your breakevens and margin risk
• Compare projected prices and historical trends
• Use tools to simulate how each option may work on your acres