AB crop insurance reduction

[GDR]

AFSC announced yesterday a 20% decrease in premiums.


From Afsc:

Alberta farmers will receive a 20 per cent reduction in crop insurance premiums for the 2021 crop year.

This reduction will save farmers more than $55 million on their crop insurance premiums in 2021. This will mean significant savings for individual farmers as a farm with 2,000 insured acres will save about $8,000 this year.

“I’m thrilled that we can pass these savings on to our clients,” said Darryl Kay, AFSC’s chief executive officer, “and proud that our healthy crop insurance program in Alberta can give producers a bit of a break when they need it most.”

The reduction in premiums is possible because of a healthy crop fund reserve. This fund protects against any future insurance payments, and is now at a point where it can help support discounted premiums, without posing significant risk to the overall program. This also means that there is enough money in the fund to mitigate a major event, such as a province-wide disaster in 2021 or beyond

[Herc]

Maybe SK crop insurance will follow suit.....

[wmoebis]

Does this mean the tax payers will get a reduction on their share also?

[bucket]

Maybe SK crop insurance will follow suit.....

Wishfull thinking ...the AG Minister wants to get rid of crop insurance and follow the private insurance model for farmers in Saskatchewan...

Thats why they pushed for private insurance like GARS not to affect agristabilty..change farmers to whole farm insurance for a higher price...then eventually get a board seat after their indexed pension kicks in.

[farming101]

Wishfull thinking ...the AG Minister wants to get rid of crop insurance and follow the private insurance model for farmers in Saskatchewan...

Thats why they pushed for private insurance like GARS not to affect agristabilty..change farmers to whole farm insurance for a higher price...then eventually get a board seat after their indexed pension kicks in.

I wonder what would happen with the $2,278,193,000 due the program and sitting in the general revenue fund earning interest

[bucket]

The province of Saskatchewan has committed 4 billion to irrigation...so they do have the money to reduce insurance rates...and since they have 40 bucks an acre for irrigation districts for 5 years i guess they should be able to reduce dryland insurance fees....BUT the excuse will be they are looking at the drought maps and the treasury may not be able to afford it....

[Oliver88]

Maybe SK crop insurance will follow suit.....

This will help offset some of Trudeau’s carbon tax increases in Alberta.

We will have to put pressure on our Sask MLA’s to match this.

[bucket]

I wonder what would happen with the $2,278,193,000 due the program and sitting in the general revenue fund earning interest

It will be used to fund the project or transferred to private insurance....look at the shysters in Regina...

[Guest]

Maybe SK crop insurance will follow suit.....

Don’t you remember , sask party took our reserve into their income

[LEP]

Don’t you remember , sask party took our reserve into their income

It wasn't part of income. But it is borrowed from the reserve by the government. Kinda doesn't make sense to borrow an extra $2 billion when you have it sitting in cash in another account. They can borrow to replace it when the time comes to pay it out.

Makes sense when you think about it. Once the reserve to premium ratio gets to a certain level it should trigger a reduction in premiums like Alberta. I don't know what that magic number is though.