The Production Insurance new forage seeding plans offer establishment protection for new forage crops. A claim may be paid if an insured peril causes damage to three or more adjoining acres, preventing your crop from establishing a stand.
- Excessive moisture
- Excessive rainfall
- Insect infestation*
- Plant disease*
- Winterkill (unless a cut has been taken after September 1)
* Provided good farm management practices are followed.
Losses due to uninsured perils
Losses due to uninsured perils such as improper use of pesticides, third-party damage or spray drift are not covered by Production Insurance.
Calculating your coverage and claims
There are two different plans for new forage seeding. If you grow both the premium and standard new forage seeding, you must insure the premium new forage seeding in order to insure the standard.
Premium new forage seeding plan
This plan is designed to ensure the establishment of high-quality, long-term forage stands. They contain a seed count of less than 50 per cent red clover or have a seed value of at least $35 per acre.
Claim payments are subject to a deductible of 10 per cent of the total planted acres.
Standard new forage seeding plan
This plan is intended for forage stands that contain a seed count of more than 50 per cent red clover or have a seed value of less than $35 per acre.
Claim payments are subject to a deductible of 30 per cent of the total planted acres.
How claims are determined
A establishment benefit claim may be paid if:
- At least three adjoining acres were damaged
- Damage was due to an insured peril
- Damage was reported to Agricorp
claim price is set for each plan at the beginning of the year. Claims are calculated using this formula:
Number of acres – deductible* x claim price ($/acre)
* Deductible equals:
- 10% of total acres for premium new seeding
- 30% of total acres for standard new seeding