Why are 5 million acres of Ontario farmland insured under Production Insurance each year?
In a word:
Production Insurance protects Ontario producers from yield reductions and crop losses caused by factors beyond their control. Things like adverse weather, disease, wildlife and insect infestations.
When you enrol in the new forage seeding Production Insurance plan, you are offered an establishment benefit. A claim may be paid if an insured peril prevents your crop from establishing a stand.
What's new for 2017
Starting in 2017, Agricorp has clarified which species can be insured under the new forage seeding plans. Find the full list below or in the updated
Contract of Insurance – Part XII at
agricorp.com/newforage. Contact Agricorp if you would like a copy of the updated
Contract of Insurance.
The following species are insurable:
- Annual rye grass
- Bird's-foot trefoil
- Brome grass
- Creeping red fescue
- Daikon radish
- Meadow foxtail
- Orchard grass
- Oilseed radish
- Perennial rye grass
- Red clover
- Reed canary grass
- Sweet clover
- Tall fescue
- White clover
What Production Insurance offers
- Peace of mind.
- Dependable collateral with financial institutions.
- Affordable coverage that is cost-shared with government.
- Premiums that are tax deductible as an operating expense.
- Claim payments that reflect market prices.
- Individual crop plans that accommodate unique aspects of each insurable crop.
- Payments that are made within the year the loss occurred (in most cases).
Production Insurance is part of the suite of programs available under Growing Forward 2. In most plans, producers pay 40 per cent of the total premium cost and none of the administrative cost. Together, the federal and provincial governments contribute the other 60 per cent. Administrative costs are fully funded by both levels of government.