Crop Insurance Plan for Vegetables

Link to law: https://www.novascotia.ca/just/regulations/regs/CLIveg.htm

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Crop Insurance Plan for Vegetables
made under Section 6 of the

Crop and Livestock Insurance Act

R.S.N.S. 1989, c. 113

O.I.C. 2000-571 (November 17, 2000, effective April 1, 2000), N.S. Reg. 192/2000

as amended up to O.I.C. 2012-6 (January 10, 2012), N.S. Reg. 19/2012

Citation

1     This plan may be cited as the Crop Insurance Plan for Vegetables.

Section 1 replaced: O.I.C. 2012-6, N.S. Reg. 19/2012.

Purpose

2     The purpose of this plan is to provide for insurance against a reduction in yield ofvegetables resulting from one or more of the perils designated in Section 4.

Interpretation

3     In this plan,

 

“Act” means the Crop and Livestock Insurance Act;

Definition added: O.I.C. 2012-6, N.S. Reg. 19/2012.

 

“average insurable yield” means the average insurable yield of an insurablevegetable crop determined in accordance with subsection 9A(3);

Definition replaced: O.I.C. 2006-345, N.S. Reg. 136/2006.

 

“final acreage declaration” means a signed declaration of cropping intentionssubmitted to the Commission by an insured person pursuant to Section 14;

 

“insurable crop” means any crop of vegetables that has been planted by an insuredperson in a crop year;

 

“terms and conditions of the Contract of Insurance” means the terms and conditionsset out in the Contract of Insurance in Form 1 to the General Field Crop InsurancePlans Regulations made under the Act;

Definition added: O.I.C. 2012-6, N.S. Reg. 19/2012.

 

“total guaranteed production” means the guaranteed production as determinedpursuant to Section 9;

 

“vegetables” means all cultivars of broccoli, Brussels sprouts, cauliflower, cabbage,fresh carrots, lettuce, onions, parsnips, processing carrots, rutabagas, and wintersquash produced in Nova Scotia, that are recommended by the Department ofAgriculture.

[Note: the reference to the Department of Agriculture and Marketing has been updated in accordance withOrder in Council 2006-121 under the Public Service Act, R.S.N.S. 1989, c. 376, effective February 24, 2006.]

Section 3 amended: O.I.C. 2012-6, N.S. Reg. 19/2012.

Designation of perils

4     The following are designated as perils for vegetables:

 

(a)frost;

(b)hail;

                (c)    disease;

(d)drought;

(e)excessive moisture;

(f)off crop due to adverse weather;

(g)wind;

(h)insects;

(i)wildlife.

Designation of crop year

5     The crop year for vegetables is the period from March 15 in any year to November 15 ofthe same year.

Section 6 repealed: O.I.C. 2012-6, N.S. Reg. 19/2012.

Section 7 repealed: O.I.C. 2012-6, N.S. Reg. 19/2012.

Deadline for notice of cancellation of insurance

8     For the purpose of clause 4(1)(a) of the terms and conditions of the Contract of Insurance,a notice of cancellation of insurance under this plan must be given before March 15 inadvance of the crop year for which the cancellation is to be effective.

Section 8 and heading replaced: O.I.C. 2012-6, N.S. Reg. 19/2012.

Coverage

9     (1)    All the area of each type of vegetable owned or operated by an insured person and tobe harvested is eligible to be offered for insurance coverage.

 

       (2)    If an insured person offers an area of vegetables for insurance coverage, the entirearea of that vegetable type must be offered for insurance coverage.

 

       (3)    The Commission may insure all or part of an area of vegetables offered for insurancecoverage.

 

       (4)    On written application by an insured person, the Commission may insure a vegetablecrop on the basis of variety, area, agronomic practice or specified perils.

Section 9 replaced: O.I.C. 2009-39, N.S. Reg. 27/2009.

Total guaranteed production

9A  (1)    An insured person shall select a coverage level of 70%, 80%, 85% or 90% of theaverage insurable yield of an insurable vegetable crop for the purpose of determiningthe guaranteed production for that crop in a crop year.

 

       (2)    The total guaranteed production for an insured vegetable crop shall be determined bymultiplying the selected coverage level by the average insurable yield for the totalarea of that insured vegetable crop.

 

       (3)    The average insurable yield of an insurable vegetable crop is the potential productionof that crop as determined by the Commission from the insured person’s yieldrecords, subject to a methodology developed by an actuary and approved by theCommission.

Section 9A added: O.I.C. 2006-345, N.S. Reg. 136/2006.

Established prices

10   (1)    For each crop year, the Commission shall establish price options for each insurablevegetable crop, and shall announce these options to insured persons before thebeginning of the crop year.

 

       (2)    An insured person shall select one of the price options as the established price to beused for calculating premium and indemnity in their contract of insurance.

Section 10 replaced: O.I.C. 2006-345, N.S. Reg. 136/2006.

Maximum indemnity

11   The maximum indemnity for which the Commission is liable under a contract ofinsurance shall be the amount obtained by multiplying the total guaranteed production bythe established price selected pursuant to subsection 10(2).

Premium

12   (1)    The base premium rate shall be based on a methodology set by an actuary andapproved by the Commission.

 

       (2)    The base premium rate shall be adjusted by giving a discount when indemnity is lessthan total premiums paid or adding a surcharge when indemnity exceeds totalpremiums, and adjustments shall be calculated using the following formula:

 

(LR-1) x (n÷(20+n))

 

where “LR” equals total indemnity divided by total premiums and “n” equals thenumber of years insured in the plan.

 

       (3)    Despite subsection (2), the maximum discount shall be 50% and the maximumsurcharge shall be 100%.

 

       (4)    Despite subsections (1), (2) and (3), the minimum annual premium payable by aninsured person in each crop year is $50.

 

       (5)    The premium determined under subsections (1) to (3) includes premium paymentsmade by the Government of Canada under the Farm Income Protection Act(Canada) and the Province under the Act.

Subsection 12(5) amended: O.I.C. 2012-6, N.S. Reg. 19/2012.

Section 12 replaced: O.I.C. 2006-345, N.S. Reg. 136/2006.

 

13   (1)    An insured person shall pay the premium less any premium deposit to theCommission not later than August 1 for the current crop year.

 

       (2)    Interest of 1.5% per month or a minimum of $5 per month will be charged by theCommission on an overdue account.

Final acreage declaration

14   An insured person shall file a final acreage declaration with the Commission before April15 in each crop year, indicating what eligible crops are to be planted and what levels ofcoverage and unit prices shall apply for the crop year.

Incorrect acreage

15   (1)    The Commission may measure the insured acreage by any method that it considersproper.

 

       (2)    Despite Section 9, where the actual measured acreage of vegetables in a crop year isless than the insured acreage, the total guaranteed production and the amount ofinsurance shall be reduced accordingly and no refund of premium shall be made.

 

       (3)    Despite Section 9, where the actual acreage of vegetables in a crop year exceeds theinsured acreage, the measured area yield will be pro-rated to the insured acres incalculating indemnity payable.

Harvesting

16   All acreage of vegetables shall be harvested unless the Commission gives consent pursuantto clause 20(b).

Section 17 repealed: O.I.C. 2012-6, N.S. Reg. 19/2012.

Final harvest date

18   (1)    The Commission shall establish and maintain a schedule of final harvest dates foreach insurable crop and shall provide these dates to an insured person before the startof each crop year.

 

       (2)    Any part of an insured crop that has not been harvested before the final harvest dateestablished pursuant to subsection (1), shall cease to be eligible for insurancecoverage unless it can be established that the harvest of that crop was delayed due toa peril designated in Section 4.

Harvest yield report

19   No later than 30 days after the completion of harvest, an insured person must file a harvestyield report with the Commission on a harvest yield report form provided by theCommission for this purpose.

Section 19 replaced: O.I.C. 2009-39, N.S. Reg. 27/2009.

Evaluation of loss

20   The reduction in yield of an insured crop in a crop year and the indemnity payable shall bedetermined as follows:

 

                (a)    where the actual production is less than the total guaranteed production, theadjustment of loss shall be calculated by subtracting the actual production fromthe total guaranteed production and multiplying the difference by theestablished price; or

 

                (b)    where the loss or damage occurs before the completion of harvest, theCommission may consent in writing to a written request to abandon damagedacreage, and shall determine the number of damaged acres and any potentialproduction.

Section 21 repealed: O.I.C. 2012-6, N.S. Reg. 19/2012.

Section 22 repealed: O.I.C. 2012-6, N.S. Reg. 19/2012.