Purpose
Novel Crops Insurance provides coverage on crops not currently covered by the AgriInsurance program due to the relatively small number of acres grown and/or lack of data or information available.
Eligibility
- Novel Crops Insurance is available to all producers that have an AgriInsurance contract.
- Landlords are not eligible.
- Coverage is restricted to annual, biennial, and perennial crops grown for the production of grain or seed. Coverage is available in the year of harvest only.
- Producers must grow and insure at least one typical annual or forage seed crop in order to calculate coverage for the novel crop.
- Intercrop mixtures are eligible for coverage as a novel crop.
- Minimum of three acres per novel crop is required.
- Insured Novel crop acres cannot exceed 30 per cent of the producer’s other insured annual and forage seed crop acres grown in that year.
Eligibility Example
AgriInsurance Crop |
Acres |
|---|---|
Soybeans |
200 |
Red Spring Wheat |
150 |
Canola |
200 |
Total Non-Novel Crop acres: |
550 |
Maximum acres eligible for Novel Crops Insurance: |
= 550 x 30% = 165 acres |
- Seeding deadline for all novel crops is June 20.
- Novel crops are eligible for a reseed benefit of 25 per cent of the crop’s per acre dollar coverage if the crop fails to establish by June 20.
- Producers must submit a Seeded Acreage Report to MASC by June 30.
Cost
The premium is cost shared 40 per cent by the producer, 36 per cent by the Government of Canada, and 24 per cent by the Province of Manitoba.
The producer premium cost for Novel Crops Insurance is:
- $5.44 per acre at the $200 per acre coverage level
- $8.16 per acre at the $300 per acre coverage level
- $10.88 per acre at the $400 per acre coverage level
Coverage
Producers may select from three different coverage levels: $200, $300, or $400 per acre.
Coverage Example
165 novel crop acres x $400 per acre coverage
=$66,000.00
- Note: Crops insured by Novel Crops Insurance are not eligible for any Stage 1 benefit.
- March 31 is the last day to apply for or make changes to an MASC AgriInsurance policy (including the selection of Novel Crops Insurance).
Claims
A claim on novel crop acres is based on the loss experienced by the producer on other typical crops:
Claim Example
Crop |
Indemnity |
Total Coverage |
|---|---|---|
Soybeans |
$0 |
$50,000 |
Red Spring Wheat |
$5,000 |
$30,000 |
Canola |
$10,000 |
$75,000 |
Total: |
$15,000 |
$155,000 |
Loss Percentage: |
= 15,000 / 155,000 = 9.7% |
N/A |
Novel Crops Claim: (165 acres with $400 per acre coverage) |
= 165 acres x $400 x 9.7% = $6,402.00 |
N/A |
Hail Insurance for Novel Crops
Many novel crops are eligible for Hail Insurance:
- Alfalfa mixture (seed)
- Camelina
- Crambe
- Einkorn wheat
- Grasses (seed)
- Millet (foxtail seed)
- Safflower
- Spelt
- Spring rye
- Timothy Seed Common
- Wheat Emmer
- Wild rice
- Winter triticale
Producers must complete a Hail Insurance application and select a dollar coverage level.
Contact MASC to inquire about Hail Insurance on novel crops not listed above.
