Hail Insurance Premiums Remain Steady

For the second year in a row, there is no notable increase or decrease in the hail insurance premiums being charged to Saskatchewan farmers. Hail insurance companies set premiums on a township-by-township basis according to their risk assessment. While some localized areas may see changes, overall rates are similar to last year and the year before.

“We’re pleased that the cost of hail insurance hasn’t increased like other inputs such as fuel and fertilizer,” notes Rob Goeres (pronounced Gor-us), chair of the Canadian Crop Hail Association. “Saskatchewan producers spend about $100 million to insure their crops against hail every year and this is an important part of their business risk management.”

At this point in the growing season, there have been no major hailstorms. Damage to date has been localized with only a small number of hail claims filed by producers.

“We’d like to remind producers that uninsured crops damaged by hail may not be eligible for subsequent hail insurance,” says Goeres. “Therefore producers who are planning to purchase hail insurance are advised to act sooner rather than later.”

Some companies have a limit on the liability they will accept in a particular township. Waiting too long could also limit a producer’s choice of companies to deal with.

Hail insurance companies through the Canadian Crop Hail Association are working together to produce and distribute The Hail Report. Now in its second year, this bi-weekly report will concentrate on hail activity and issues of specific interest to Saskatchewan. 

The Hail Report will give the locations hit by storms as well as estimates of overall crop damage and the number of claims. Other important information will be included as the growing season progresses. Reports will be e-mailed to agricultural media every second week.

Information for The Hail Report is being provided by:

Butler Byers Hail Insurance Ltd.

Canadian Hail Agencies Inc.

Co-operative Hail Insurance Company

Lombard Canada

McQueen Agencies Ltd. / Farmers Hail Insurance Agencies, Ltd.

Rain and Hail Insurance Service, Ltd.

Additional Municipal Hail Ltd.

Saskatchewan Municipal Hail Insurance Association

Western Agricultural Insurance Corporation (formerly Henderson)

Wray Agencies Ltd.