Rates

​Calculating your ​​annual premium

Your annual premium is based on:

• Base premium rate
  
• Discounts and surcharges (D or S)
  
• Reported number of acres
  

The premium is calculated using this formula:

Annual premium = number of acres x base premium rate x D or S

Base premium ra​​te

The base premium rate is determined at renewal time each year. It may change due to factors like past ​performance of the plan, changes to claim prices and the level of the Ontario Agricultural Products Insurance Fund.

Discounts and su​​rcharges

If you have been enrolled in a Production Insurance plan for more than one year, your premium rate may be discounted or surcharged. Discounts and surcharges are determi​​ned by comparing your individual claim rate to the claim rate for the crop plan as a whole.

Reported number​​ of acres

This refers to the total number of planted acres you report when you finish planting. Once you report your fina​​​l planted acres, Agricorp sends your premium invoice.

​​Claim pr​​ices

The claim price is applied to your yield to calculate a dollar value for the purpose of paying a claim. Your claim amount equals your yield shortfall (total guarante​​ed production minus your total yield) multiplied by the claim price.

​The claim price is based on a fall packer survey and the Ontario Ministry of Agriculture, Food and Rural Affairs’ five-year average survey minus non-incurred costs.