June 13, 2019
The wet spring has led to planting delays, and Agricorp has
extended planting deadlines for some crops in some areas of the province. Understanding how the unseeded acreage benefit (USAB) works when there are planting extensions can help Ontario farmers know what to expect from their coverage.
USAB is included in a number of Production Insurance plans. It compensates customers if they are not able to plant their intended crop by the planting deadline due to an insured peril, other than drought. To be eligible for USAB, customers need to have coverage for all of their insurable spring-seeded crops.
When planting deadlines are extended, like this year, USAB is still available to provide customers with compensation and options that can add flexibility to their business decisions. Because of the planting delays, this year customers have more time to report their unseeded acres and can report them with their final planted acres, all in one call.
Understanding your USAB options
When wet weather delays or prevents planting, USAB can help by providing customers with options.
If acres remain unplanted – If customers are unable to plant and acres remain unplanted after the planting deadline, customers may be eligible for a USAB payment. USAB payments can help offset financial burdens, such as fixed costs and land maintenance.
If customers are unable to plant their intended crops but can plant a different crop by its planting deadline – While customers may not be able to plant their intended crops by the planting deadline, they may still be able to plant a different insurable crop with a later planting date.
While all coverage changes for Production Insurance should be made by May 1, customers with USAB can add a new crop to their coverage by the extended planting deadline and insure it for 2019.
This feature provides customers with greater flexibility during a difficult planting season, but customers are not obligated to plant an alternative crop to qualify for USAB.
If customers choose to plant without coverage after the planting deadline – Farm business decisions are always left up to individual farmers. If farmers choose to plant after the planting deadline or choose to plant an uninsurable crop, they may still be eligible to receive a USAB payment – as long as they notify Agricorp before planting first. Any crops planted in this scenario would not be insured for the 2019 growing season.
To learn more about USAB, including how payments work, read the
Unseeded Acreage and Reseeding Benefits feature sheet, available on agricorp.com.
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