 |
Individual Coverage |
 |
Your individual average yield is recalculated every time you grow a crop using 90 per cent of your previous individual average yield and 10 per cent of your most recent annual yield. There is a one-year lag in this calculation.
If you do not grow a crop for one or more years, your previously established individual experience will be compared to the area to establish your current yields.
If you are insuring crops under the organic option for the first time, individual coverage may be established a number of ways:
- If you have produced certified organic crops in the past, individual yields may be established using your production records. If you do not have 10 years of yield records for an organic crop, the missing years may be substituted with the organic area yield or your conventional crop yields reduced by 15 to 50 per cent, depending on the crop and land use (summerfallow vs. stubble).
- Your individual yield may be set using the crop’s organic area yield and your Management Experience Transfer index (see below).
- If you have previously insured the crop as conventional, your organic yield for this crop may be set as your conventional individual yield reduced by 15 to 50 per cent, depending on the crop and land use (summerfallow vs. stubble).
- If you are a new customer with no records, your individual organic yield may be set equal to the area organic area yield for your region.
Organic area yields are set at conventional area yields reduced by 15 to 50 per cent, depending on the crop and land-use (summerfallow versus stubble). There is no individual coverage for Khorasan wheat.
|
Management Experience Transfer |
|
The Management Experience Transfer (MET) index is used to establish a starting yield for a crop where no individual yield was previously established and more accurately reflects the individual customer’s farm management abilities.
Your MET index is greater than 1.0 if your yields are better than the area average; it is less than 1.0 if your yields are lower than the area average.
New customers with no previous yield history start with a MET index of 1.0.
Once your yields are established, they are updated using your individual annual production information as described under Individual Coverage.
|
