The province is making clear there will be no ad hoc programs for weather disasters in 2012 in announcing the 2012 crop insurance program.
"Producers now have more options and better coverage than ever before," said provincial agriculture minister Bob Bjornerud in announcing the program Wednesday in Melville.
As a result, "there will be no ad hoc programs for weather related disasters in 2012. I strongly encourage all producers to consider crop insurance as part of their management plans this year."
When asked by reporters if the move to do away with ad hoc programs for weather meant producers were essentially forced to take crop insurance, Bjornerud said, "no."
"The difference is this year we are giving producers the option of buying up the additional $15 to $30 extra coverage," which replaces the excess moisture payment last year.
Bjornerud was referring a new feature for 2012 giving producers the option to supplement the Unseeded Acreage Benefit of $70 per eligible acre by purchasing either $15 or $30 per acre in additional coverage for a total compensation of $100 per eligible acre of land. The agriculture minister also said the Unseeded Acreage Benefit calculation has been simplified, removing the insurance intensity formula and improving the seeding intensity formula.
Bjornerud was joined for the announcement by federal MP Garry Breitkreuz and officials with Saskatchewan Crop Insurance Corporation.
During the conference call with reporters, Bjornerud cited the expanded crop insurance program as providing more options and improved coverage for producers. The expanded coverage includes yield cushioning for forage crops, designed to assist those producers affected by excess moisture or drought and limit the impact of consecutive poor growing seasons.
Bjornerud confirmed the 2012 provincial crop insurance budget is set at $177 million, which the province calls a record high.
Coverage levels will increase to a high $174 per acre on average, or nearly double the average offered to producers in 2007, said Bjornerud.
There will also be coverage provided to fruit growers for replacement of saskatoon bushes, dwarf sour cherry and haskap fruit trees.
Establishment benefit values will also increase from $20 to $25 per acre for oats, canary seed, fall rye, spring rye and triticale.
March 31 is the deadline for producers to apply for, make changes to or cancel their crop insurance contracts. Producers can contact their local crop insurance offices for more information.
