Manitoba producers can expect lower crop insurance premiums on most products, attendees of Manitoba Agriculture Minister Ron Kostyshyn’s Manitoba Ag Days address heard Jan. 16.
Average premiums for annual crops under AgriInsurance are expected to hit $16.21 per acre in 2024, down from $19.21 in 2023.
It’s a good news-bad news scenario for producers.
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Speaking after the announcement, Kostyshyn pointed to lower grain prices. They factor into the calculation for producer premiums, he noted.
“I guess, what it basically does say is, if you’re very successful, you could have some super yields and you save $3 an acre on a premium for the insurance component.”
A press release put out by the province following the announcement noted “continued volatility in global commodity markets.”
Prices may rise for crops like dry beans, forage and forage seeds, potatoes and vegetables, the release noted, but a price hit is anticipated for most other crops.
David Van Deynze, chief product officer for the Manitoba Agricultural Services Corporation, said producers can expect to see their premiums in early February when their confirmation of insurance packages arrive.
“That’s really when producers’ specific premiums would show up and that’s probably their best place to do it,” he said.
Manitoba’s 2024 AgriInsurance program is expected to provide coverage for about 9.55 million acres, worth $5 million.
Of the 60 per cent of premium cost borne by government, 36 per cent is funded by the federal government, while the provincial government foots the bill for 24 per cent. Producer payments make up the remaining 40 per cent of the premium.
S-CAP
The ag minister also addressed the first year of the Sustainable Canadian Agricultural Partnership (S-CAP), which came into effect last year.
The province is launching the second intake of Sustainable Agriculture Manitoba funding under the framework, Kostyshyn said.
That program funds beneficial management projects, with an eye to climate change adaptation, air and water quality, water quantity, biodiversity and soil health.
