As dry conditions persist across the western provinces, Livestock Price Insurance (LPI) would like to remind producers of their marketing options with cattle currently insured.
Producers facing water or pasture shortages and have an active insurance policy in the Feeder and Calf insurance programs are able to sell cattle outside of the normal settlement window.
- The LPI Contract of Insurance states producers are required to retain ownership of the livestock for a minimum of 60 days throughout the life span of the policy before they are eligible to sell.
- For producers with a Fed policy, the finished cattle must be owned for a minimum of four weeks prior to policy expiration.
Frequently Asked Questions
Q: I expected my calves to weigh 600 lbs at the expiry of my policy. Due to dry conditions and limited grass, my calves will likely wean lighter. How does this affect my policy?
LPI takes into account the current weather conditions. In the event your policy is selected for audit, please contact your LPI office for further discussion.
Q: Due to grass and feed availability, I have to sell a number of calves on the cow before the 60-day ownership minimum, how does this impact my policy?
Contact your LPI office to discuss your situation and it will be reviewed on a case-by-case basis.
Q: As a result of dry conditions I need to sell my cattle earlier than expected. Can I move the settlement window to match when I sell the cattle?
You can sell your cattle outside the settlement window, so long as you have continuous ownership of 60 days. Your policy remains valid but the settlement date cannot be changed as this would affect the coverage offered and the associated premium cost.
Q: I have to sell my calves before my policy window is due, is my policy cancelled?
No, the policy is in effect for the full settlement window. If there is a claim, it will still apply.
If you have additional questions or need more information, please contact your provincial Livestock Price Insurance office.