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Crop Insurance Saskatchewan!

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    #25
    Freewheat, a couple things:

    I recognize the extreme unfair challenges that you have/are facing. Just a few things that you may want to consider/keep in mind.

    Agristability has a negative margin component in the program. As long as you have a positive margin or if not, a positive margin in at least 2 of the 3 years used to calculate your reference margin you will be entitled to 60% of that negative margin.

    So with no crop seeded, depending on what gains have been realized in 2010 from old crop inventory sales so far, I would expect this may kick in for you. I am actually surprised it hasn't in your other years.

    Second, I would suggest you take a look at your completed applications of the past and make sure of a couple things:

    1) I know you mentioned acres seeded in some of those years were very small, but in the years you had inventory carried into the following calendar year, is the quantity, grade etc the correct amounts? Lightweight grain should be shown as a different code because it is different. If you marketed your grain in a different fashion (ex large portion contracted at a price totally different than the price listed, CWB fixed price) these are all things you can do to make your application more representative of your farm.
    2) In the past years with not a lot of crop seeded, were there any payments from crop insurance that you may have received in the following calendar year that related to the previous year. In 2004 & 2006 there were lots of settlements paid out in the following spring. These amounts are receivables for the previous year and should be adjusted to reflect this.
    3) Do your reference margin expenses include things like interest in the fertilizer, chemical etc. Did you have someone come out and custom spray for you and if so is the custom applc part buried in the chemical cost or is it separated. Do you split the correct portion of fuel from your fuel expense and either classify it as more an overhead cost with automotive expenses or if it is personal, it shouldn't be there at all.

    These are just a couple things I can think of that may make a difference in your reference margin calculations. These little things need to be looked at every year even in the good production years. I guess that's why I use the people I do because their approach is the same in a banner year and in a claim year. This will be a significant reason why reference margins will be different from one farm to the next.

    Its not all about the term "poor management" like Skhadenuf keeps hammering me on but management includes more than just seeding, planting and harvesting. Management of your books, tax, crop insurance and Agristability information is a large part as well.

    Although many beat up this program it still needs to be administered properly with the correct information. Its not about cheating or reporting incorrect information, you will always lose in the long run (which is why many received letters of overpayments). Although it may not have been intentional its just what happens when producers don't recognize the importance of it.

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