Pasture Days Insurance

Pasture Days Insurance

Purpose

  • Pasture Days Insurance provides insurance coverage for livestock producers for losses due to weather-related grazing shortfalls during the summer pasture period.

Eligibility

Pasture Days Insurance is available to all producers in Manitoba that:

  • have an active AgriInsurance contract, but do not have Pasture selected for insurance in combination with Forage Insurance; and
  • have a minimum total of 'Animal Units' (AU) of eligible livestock types on pasture.

An 'Animal Unit' (AU) is the number of livestock equivalent to a mature cow.

1 Mature cow (open cow)   = 1.0 A.U.
1 Bull, bred cow or cow/calf pair   = 1.3 A.U.
1 yearling calf, steer or heifer   = 0.6 A.U.

Sheep, Goats, Bison, Horses, Donkeys, Mules, Elk, Deer, Llamas and Alpacas are also considered eligible livestock. Please contact MASC for exact AU values for each eligible animal type.


Coverage

Coverage for Pasture Days Insurance is based on historic grazing period data obtained from Manitoba Community Pastures. New participants receive the historic grazing period (in it is days) as their coverage, which is adjusted based on their actual experience for subsequent years.

The grazing period includes the time livestock spent on actual pasture and does not include grazing hay fields or stubble fields. An individual -year average will be developed for future years coverage based on each producer’s individual annual grazing period and animal units on pasture.

The coverage level for Pasture Days Insurance is set at per cent of normal AU Days, meaning a claim is paid if the actual grazing period is less than per cent of the insured’s calculated AU Days.

Dollar coverage is set at $ per Animal Unit for each AU Day.

Coverage Example

A producer intends to pasture livestock totalling Animal Units on 800 acres of pasture. With no individual -year average, the provincial average of days is used.

Animal Unit Days   = AU x days
  = AU Days
Pasture Guarantee   = x per cent
  = AU Days
Dollar Coverage   = AU Days x $
  = $

In this example, the producer has coverage for days ( per cent of days). If the livestock are put on pasture May 15, coverage would last until September 14.


Claims

If a producer provides supplemental feed or removes livestock before the end of the coverage period due to lack of pasture available for grazing, he or she must advise the MASC insurance office immediately. Claims will be paid after November 30 when the pasture coverage ends.

An indemnity is issued on a producer’s claim when the actual grazing period is less than per cent of the derived Animal Unit Days ( in example). The producer will be paid $ per Animal Unit for every shortfall day.

Claim Example

Using information from the Coverage example, if the producer informs MASC that livestock were removed from pasture after days due to a shortage of pasture. The indemnity calculation would be as follows:

Actual Animal Unit Days   = AU x days
  = AU Days
Pasture Shortfall   = -
  = AU Days
Indemnity   = AU Days x $
  = $

Costs

Premium costs are shared per cent by the producer, per cent by the Government of Canada, and per cent by the Province of Manitoba.

Premium is calculated as follows:

Premium Example

Premium = Expected number of Grazing Days x Animal Units x Coverage Level x Insurable Value x Premium Rate ( per cent)
Premium   = x x $ x per cent
  = $ x 40 per cent (producer premium)
  = $

Other Program Details

Coverage begins when your cattle are put on pasture, but in any event, no sooner than May 1.


Producer Reporting Requirements

The livestock numbers, pasture acres, and the date livestock were placed on pasture must be reported on a Pasture Days Spring Declaration by June 30.

A producer must inform MASC immediately of any changes to pasture acres or livestock numbers that occur throughout the year, or if supplemental feed is provided to livestock on pasture. The livestock winter feeding date and date the livestock are removed from pasture must be reported on a Pasture Days Fall Declaration by November 30.


Important Dates and Deadlines

  • March 31 is the last day to apply for Pasture DaysInsurance.
  • May 1 is the earliest day Pasture Days Insurance coverage will begin.
  • June 30 is the last day to report livestock numbers and pasture acres, and advise when the livestock were placed on pasture by filing a Pasture Days Spring Declaration.
  • November 30 is the last day of Pasture Days Insurance coverage ends (if winter feeding hasn’t already started).
  • November 30 is the deadline to file the Pasture Days Fall Declaration.

Note: Reports received and accepted by MASC after the deadlines provided will be assessed a $100 late fee. If MASC determines a Pasture Days Insurance indemnity is payable, the insured will be charged an additional late claim fee of 25 per cent of the indemnity (maximum $1000).


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Canadian Agricultural Partnership Manitoba Canada

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