- AgriInsurance is a risk management tool available to Manitoba producers to insure against crop yield and quality losses caused by uncontrollable natural perils.
- AgriInsurance does not guarantee market price, or compensate for management related losses such as weed infestations.
- AgriInsurance can be tailored to fit different types of farming operations and budgets, with three coverage levels to choose from: , , or per cent of probable yield, or the Crop Coverage Plus (CCP) option, which provides coverage up to per cent of probable yield.
- Coverage is provided against natural perils including drought, excessive heat, flood, excess moisture, insect infestations, fire, hail, wind, plant disease, frost, winterkill and wildlife damage.
- Over 80 crop types are eligible for insurance. Most crops have a quality guarantee.
Basics of AgriInsurance
- Once granted an AgriInsurance Contract, the contract remains in effect from year to year, unless cancelled by the producer or MASC.
- Selected crops and coverage levels can be changed each year by the insured (if no changes, the previous year’s selections remain in effect).
- AgriInsurance offers a crop production guarantee, including a quality adjustment for most crops.
A producer has a production guarantee of 100 tonnes but only harvests 60 tonnes.
Production Guarantee = 100 tonnes Harvested Production = 60 tonnes Production Shortfall = 100 tonnes - 60 tonnes
= 40 tonnes
The claim would be paid on the 40 tonne shortfall multiplied by MASC’s dollar value for that particular crop.
- The entire acreage of a crop grown by an insured, including owned and rented land, must be insured (insurance cannot be purchased on a field-by-field basis).