Crop insurance

[Grahamp]

Cap ? What’s that?

https://www.scic.ca/crop-insurance/crop-averaging-program

Stands for crop averaging program. You lose individual crop coverage, but gain total dollar coverage roughly 10%-12% higher for the same premium. So if you select 80% you would pay your 80% premium rate but would have coverage of 90%. But your claim is calculated by the total bushels grown in all crops.

So to give a for instance let’s assume you have individual coverage of 40 for canola and 50 for wheat. Your 80% conventional coverage covers you for 32 canola and 40 wheat. Under the CAP program for the same premium you would be covered for 36 canola and 45 wheat with the base price of 17 and 8.69. So if you grew a 34 bpa canola you would be eligible for a $34 dollar payment but every bushel of wheat you grew over 45 would claw this payment back at 8.69 per bushel. So if you grew a 49 wheat you would get nothing.

The sweet spot for us is the 70% percent level. The premium jump between 70 and 80 is almost double and 70% conventional is just not quite enough. Getting 80% coverage for 70% premium makes a big enough difference for us to give up the individual crop coverage.

[woodland]

We run at 80% with no hail. Looks to be a repeat of last years drought so we’re gonna stay there regardless of the cost. The wind has sucked all the moisture out here. Another fun year ahead.

I wish we could get our cattle price insurance to be cost competitive like crop insurance. The government is incentivizing the conversion of grass to canola.

Mallee………
You’re completely right that our insurance inflates our land prices. It sure takes away some of the stress of this wacky calling that we do though. If it disappeared we’d get tough or die………

Great topic 🍀

[Oliver88]

Droughts not over, sticking with 80%.

Only choice to make is whether to use “In Crop Pricing” or not.

[ajl]

Sticking with 80% no hail here as well. AFSC kept the price of wheat quite low at 8.98 for high protien HRSW. I have sold a tiny bit of #2HRSW 13.5% @ 13 for Oct already. In Alberta Variable price benefit is standard which helped around here last year. Them choosing a low initial price helps keep the premium low but the payout if we stay dry could rise quite a bit above their projection.

[fjlip]

Upping FLOOD damage also here, frost be major concern too.

[sumdumguy]

Agristabity should reflect current valuations.

[Sheepwheat]

Upping FLOOD damage also here, frost be major concern too.

Getting a growing season and getting rid of the snow is a priority in these parts. 80% OLD snow cover left.

Climate change, fjlip, climate change. I find repeating the mantra helps over time.

[jazz]

80% coverage including $100 per ac unseeded acreage coverage.

If we get any significant kind of rain in may there are going to be acres too wet to seed.

[Guest]

We dropped that to $70
Dropped premium 80% on that coverage
Have never collected on that I don’t think ?
Even in the swamp
It sure isn’t one of their stellar programs we have found
Many Formulas kick the shit outta it

[Maver]

Went 80% on everything. Seasonal price option on canola. Figured we may as well go all in. We've never been this dry going into seeding.