Hay Disaster Benefit

Hay Disaster Benefit

Purpose

  • The Hay Disaster Benefit (HDB) compensates for the increased cost of hay and transportation when there is a severe provincial forage shortfall, and reduces the need for emergency assistance programs.

Eligibility

  • Producers enrolled in Select Hay Insurance and Basic Hay Insurance are automatically enrolled in the Hay Disaster Benefit.
  • All insured hay types (Alfalfa, Alfalfa Grass Mixtures, Grasses, Sweet Clover and Coarse Hay) are eligible.

Cost

  • The premium is cost shared per cent by the Government of Canada and per cent by the Province of Manitoba. There is no cost to the producer.

Coverage

  • The Hay Disaster Benefit payment to a producer is triggered when:
    1. there is a significant provincial hay yield loss (more than 20 per cent of the producers insured by AgriInsurance have less than 50 per cent of their long-term probable yield), and
    2. the producer has a claim under Select Hay Insurance or Basic Hay Insurance.

    The provincial trigger is based on data collected from all Harvested Production Reports provincewide, including an adjustment for quality loss.

  • The Hay Disaster Benefit pays an additional amount per tonne of production shortfall under Select Hay Insurance or Basic Hay Insurance.

The Hay Disaster Benefit Dollar Value for is $ per tonne.


Claims

  • When triggered, producers receive an automatic payment based on their Select Hay Insurance or Basic Hay Insurance claim.
  • Claim Example

    A producer has claimed a production shortfall of 111.25 tonnes on their Basic Hay Insurance and the Hay Disaster Benefit has been triggered by a significant provincial hay yield loss.

    Hay Disaster Benefit Indemnity   = Claim Production Shortfall x Hay Disaster Benefit Dollar Value
      = 111.25 tonnes (shortfall) x $ per tonne
      = $

Important Dates and Deadlines

  • March 31 is the last day to apply for Select Hay Insurance and Basic Hay Insurance, make changes (add or delete hay types and change coverage levels) or to cancel AgriInsurance.
  • November 30 is the last day to submit your Harvested Production Report (HPR).

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Canadian Agricultural Partnership Manitoba Canada

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