What is Price Cap?
What is Price Cap?
In short... It's insurance. You pay a one time enrollment fee and you are covered for the heating season.
Covered? What does that mean?
"Covered" means your price is guaranteed to not exceed the contracted price for the contract period. This is quite different from a Lock In Price or Pre-Buy price offered by some suppliers. With a Lock In Price or Pre-Buy price, you pay that contracted price regardless of the current market price. With a Price Cap program, your price is guaranteed not to exceed, BUT can be lower than the contracted price. For example, if your Price Cap agreement contracted for $2.00 per gallon, but the current market rate for propane is $1.75, you will only pay the $1.75. If the current market rate for propane is $2.50, you will only pay the $2.00 maximum that was contracted through the Price Cap agreement.
We understand that year to year weather changes can create a usage change. For this reason, Baker's Propane will allow you to contract (insure) up to 120% of your previous years gallons.
So whats stopping you from protecting yourself today?
