Why are 5 million acres of Ontario farmland insured under Production Insurance each year?
In a word:
protection.
Production Insurance protects Ontario producers from yield reductions and production losses caused by factors beyond their control, including adverse weather, disease, pests, wildlife or other uncontrollable natural perils.
When you enrol in Production Insurance for processing vegetables, you are guaranteed a level of production based on either your contracted tonnage or your yield history – whichever is less – and the level of coverage you choose. A claim may be paid if an insured peril causes your yield to fall below your guaranteed production.
