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Excess Moisture Insurance
Excess Moisture Insurance (EMI) compensates producers who cannot seed their crops before June 20th due to excessively wet conditions. MASC introduced EMI to Manitoba producers in 2000 as a basic component of the AgriInsurance program.
EMI has a basic deductible of {basic_deductible}% of the total acres available for seeding. MASC will adjust your deductible according to your recent EMI claim history. A Zero Deductible option is available that allows you to buy-down your deductible. The higher Dollar Value option of the EMI program allows you to buy-up coverage from the basic ${basic_coverage} per acre to ${higher_coverage} per acre.
- Eligibility
- Costs & Coverage
- Deadlines
- Claims
- Links
Eligibility
Eligible Producers
All producers insured by MASC (including landlords with a crop share agreement) are provided with basic EMI coverage.
All acres that are normally available for spring seeding (lands cultivated for spring seeding of annual crops) are eligible. Acreage under sod, pasture or perennial forage is eligible for EMI, provided such acreage is destroyed by June 10th and is ready for spring seeding.
You're eligible for an EMI claim if you're unable to seed (before June 20th) due to excessively wet conditions (with a minimum of 10 unseeded acres). A deductible is applied to all eligible acres. The number of acres affected by excessive moisture must exceed the deductible before a claim is in effect.
Ineligible Land
All acreage available for crop seeding is eligible for EMI, except:
- acreage under bush, brush, fall rye or winter wheat, unless it was destroyed the previous year;
- acreage under sod, pasture or perennial forage unless it is destroyed by June 10th;
- acreage not seeded in the previous year due to excess moisture that could have been prepared for seeding, but was not; and
- acreage declared by MASC as being uninsurable.
Costs & Coverage
All producers participating in AgriInsurance pay $0.30 per acre for Excess Moisture Insurance (EMI), which is 40% of the total premium cost for basic EMI. This cost sharing approach is consistent with how this type of benefit is funded in other provinces under the Federal-Provincial-Territorial Growing Forward Agreement.
The EMI program has a basic deductible of {basic_deductible}% of your total acres available for seeding. Your EMI deductible increases by {deductible_increment}% following an EMI claim, and decreases by {deductible_increment}% (to a minimum of {basic_deductible}%) following a non-claim year. You can buy down your deductible by choosing the EMI Zero Deductible Option.
The higher Dollar Value option lets you buy up your basic coverage from ${basic_coverage} an acre to ${higher_coverage} per acre.
EMI Coverage Choices
- basic EMI coverage (no selection required - applies to all AgriInsurance contracts)
- the EMI Zero Deductible option
- the higher Dollar Value option
- both the higher Dollar Value option and the EMI Zero Deductible option
| Comparison of EMI Coverage & Premium Costs (per acre) | ||||
|---|---|---|---|---|
| Producer Deductible | ${basic::per_acre} Basic Coverage | ${basic::per_acre} Zero Deductible option | ${higher::per_acre} higher Dollar Value option | ${higher::per_acre} higher Dollar Value & Zero Deductible options |
| 5% | ${basic::basic_5} | ${basic::basic_zero_5} | ${higher::higher_5} | ${higher::higher_zero_5} |
| 10% | ${basic::basic_10} | ${basic::basic_zero_10} | ${higher::higher_10} | ${higher::higher_zero_10} |
| 15% | ${basic::basic_15} | ${basic::basic_zero_15} | ${higher::higher_15} | ${higher::higher_zero_15} |
| 20% | ${basic::basic_20} | ${basic::basic_zero_20} | ${higher::higher_20} | ${higher::higher_zero_20} |
| 25% | ${basic::basic_25} | ${basic::basic_zero_25} | ${higher::higher_25} | ${higher::higher_zero_25} |
| 30% | ${basic::basic_30} | ${basic::basic_zero_30} | ${higher::higher_30} | ${higher::higher_zero_30} |
| 35% | ${basic::basic_35} | ${basic::basic_zero_35} | ${higher::higher_35} | ${higher::higher_zero_35} |
Manitoba Agricultural Services Corporation does not pay an EMI indemnity if less than 10 acres of a farm (or by unit if a landlord contract applies) cannot be seeded due to excessive moisture.
Example EMI Deductible Calculations
Your base deductible is determined by your previous claim record. Each year following an EMI claim, your base deductible increases by {deductible_increment}%; conversely, for each year you do not have a claim, the deductible decreases by {deductible_increment}% (to a minimum of {basic_deductible}%).
You have 1000 eligible acres, on which you have a {basic_deductible}% EMI deductible. In 2005, you could not seed 500 acres and received an EMI indemnity. In 2006, you seeded 700 acres and received an EMI indemnity on the remaining 300 acres. In 2007, 2008, and 2009 you seeded all 1000 acres and did not have an EMI claim.
| Year | Deductible | Indemnity on: |
|---|---|---|
| 2005 | = 5% |
= unseeded wet acres - deductible acres = 500 - 50 = 450 acres |
| 2006 | = 10% (raised 5% by previous claim) = 1000 acres x 0.1 = 100 acres |
= 300 wet acres - 100 deductible acres = 200 acres |
| 2007 | = 15% (raised 5% by previous claim) = 1000 acres x 0.15 = 150 acres |
No EMI claim filed |
| 2008 | = 10% (decreased 5% by non-claim in previous year) = 1000 acres x 0.1 = 100 acres |
No EMI claim filed |
| 2009 | = 5% (decreased 5% by non-claim in previous year) = 1000 acres x 0.05 = 50 acres |
No EMI claim filed |
You have 1000 eligible acres of land, with a basic EMI deductible of {basic_deductible}%. In 2007, 2008, and 2009 you purchased the EMI Zero Deductible Option. In 2007, you were unable to seed 500 acres of land and received an EMI indemnity. In 2008, you again purchased the EMI Zero Deductible Option and seeded 920 acres, receiving an EMI indemnity on the remaining 80 acres.
| Year | Deductible | Indemnity on: |
|---|---|---|
| 2007 | = 5% |
= unseeded wet acres - deductible acres = 500 - 0 = 500 acres |
| 2008 | = 10% (raised 5% by previous claim) = 1000 acres x 0.1 = 0 acres (due to Zero Deductible option) |
= 80 wet acres - 0 deductible acres = 80 acres |
| 2009 | = 5% (decreased 5% by non-claim in previous year) * = 1000 acres x 0.05 = 0 acres |
No EMI claim filed |
| (* deductible reduced because the 2008 claim was less then the 2008 deductible of 100 acres.) | ||
Landlord Obligations
As an eligible landlord, you have the same deductible as your tenant. For example, if the tenant selects the EMI Zero Deductible Option, it automatically applies to you as landlord, and you must then pay your share of the premium costs.
As landlord, you rent 1000 acres to your tenant neighbour. The contract states that you (the landlord) and your neighbour (the tenant) share all costs and revenues on a basis of 1/3 by the landlord and 2/3 by the tenant. In 2007, you did not file an EMI claim on the insured acres. In 2008, the tenant selects the EMI Zero Deductible Option at a total cost of $ x 1000 = $. .
| Premium | Indemnity | |
|---|---|---|
| Tenant | = $. x 66.7% = $. |
2/3rds of any claimed indemnity |
| Landlord | = $. x 33.3% = $. |
1/3rd of any claimed indemnity |
Deadlines
| Date | Last Day to... |
|---|---|
| March 31st |
|
| June 10th |
|
| June 20th |
|
| June 22nd |
Note: Your Seeded Acreage Report (SAR) is used to file an EMI claim. |
| June 23rd - June 30th |
Note: Late claim indemnities are only paid if MASC can establish that the land could not be seeded by June 20th due to excessively wet conditions. |
| June 30th | EMI claims will not be accepted after this date. |
Claims
MASC uses your Seeded Acreage Report (SAR) to calculate EMI claims. In all cases, the minimum amount of a claim is 10 acres (whether or not you have selected the EMI Zero Deductible Option).
You report on your Seeded Acreage Report (SAR) that you have seeded 300 acres to canola and summerfallowed 100 acres, but you were unable to seed 50 acres because of excessive moisture.
Eligible Acres = 100 + 300 + 50
= 450 acresEMI Deductible = 450 x .
= . acresUnseeded Acres = 50 acres
With a {basic_deductible}% EMI deductible, your indemnity is: (50 - .) x ${basic_coverage} = $..
With the EMI Zero Deductible option, your indemnity is: (50 - 0) x ${basic_coverage} = $..
In this example, you receive an indemnity on the 50 acres you were unable to seed because of excessively wet conditions. You must, however, pay a premium on the full 450 acres.
Related MASC Links |
External Links |
