Why are 5 million acres of Ontario farmland insured under Production Insurance each year?
In a word:
protection.
Production Insurance protects Ontario producers from losses caused by factors beyond their control. The bee health plan covers colony losses caused by insured perils that occur during the overwinter period.
What's new
Coverage for production loss caused by on-farm labour shortages due to COVID-19
On July 9, 2020, the governments of Canada and Ontario announced an enhancement to Production Insurance for eligible commodities in 2020 to help farmers manage challenges beyond their control.
This coverage has been extended for the 2021 program year. Coverage in 2021 will be extended to bee health, apple and tender fruit trees, and grapevines.
Production Insurance customers who suffer production loss caused by on-farm labour shortages due to COVID-19 will be insured for the 2020 and 2021 program years.
For more information about this coverage, see 
Understanding Coverage for 2021 Labour Disruptions.
What Production Insurance offers
- Peace of mind (production level is guaranteed).
- 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 product.
- Payments that are made within the year the loss occurred (in most cases).
Funding partners
Production Insurance is part of the suite of programs available under the Canadian Agricultural Partnership. In most plans, producers pay 40 per cent of the total premium cost and none of the administration cost. Together, the federal and provincial governments contribute the other 60 per cent. Administrative costs are fully funded by both levels of government.
