Deadline approaching for Fresh Market Vegetable acreage loss insurance
April 11, 2008 By Agricorp
April 11, 2008, Guelph, Ont. –
Collaborating with Ontario’s fresh vegetable industry is vital for
Agricorp as they enhance the Fresh Market Vegetable – Acreage Loss
(FMV-AL) plan for the 2008 expanded pilot.
April 11, 2008, Guelph, Ont. – Collaborating with Ontario’s fresh vegetable industry is vital for Agricorp as they enhance the Fresh Market Vegetable – Acreage Loss (FMV-AL) plan for the 2008 expanded pilot.
As consumers demand greater access to locally grown, locally harvested products, the Ontario horticulture industry faces unique challenges. Enhanced production insurance options for horticulture growers are necessary to the advancement of the horticultural industry in Ontario.
“I have been working for years trying to get production insurance for horticulture, finally a plan comes along that has potential”, said Ken Forth, president of Forthdale Farms Ltd. and labour chair for the Ontario Fruit and Vegetable Growers’ Association. “Our farm found the new acreage loss program to be very effective, field by field, giving us even better coverage.”
The FMV-AL plans recognize the unique needs of the horticultural sector by providing effective site-specific coverage for major losses at the field level. Production Insurance (PI) is a business risk management program that protects producers from yield reductions and crop losses caused by adverse weather and other insured perils. Many plans are based on an individual average yield per crop, which reflects each producer's production experience. While traditional PI plans cover overall yield reductions, under the fresh market vegetable plans, claims are calculated at the field level. A high yield from one field will not offset a claim on a low yielding field and losses can be applied on a per acre basis. The plans also allow producers to salvage any damaged crops to preserve their market. The plans provide coverage for many crops not currently covered by PI, such as turnips, lettuce, green peas, and pumpkins.
The deadline to apply is May 1, 2008.
Benefits of the program include:
Site-specific coverage for individual crops, fields, and plantings
Claims are calculated on an acreage basis and paid on the first acre of loss
Claims are paid throughout the season, at the time of loss
Crop salvage is permitted to preserve a market
Crop groupings provide a larger risk-sharing pool, resulting in more stable premium rates
How to participate:
For more details about FMV-AL, call Agricorp .
Submit your application by May 1, 2008.
An Agricorp adjuster will visit you within 10 days to complete the application, and discuss coverage options, production values, insured peril options, premium rates, and plan details.
The FMV-AL plans will continue to gather more Ontario-specific crop information including market price, grading standards, cost of production, yield potential, and agronomic practices. Ongoing producer feedback will also help identify gaps and determine opportunities to improve program design, delivery, customer satisfaction, and data collection.
“The 2007 FMV plan played an important part in my operation, “said Jason Ryder, chair of the Ontario Fresh Vegetable Growers of Ontario. “The Fresh Vegetable Growers of Ontario are looking forward to continued work with Agricorp and recommending improvements to the plans for the upcoming years. I look forward to being enrolled in the plan for the 2008 growing year.”
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