What's happening to PEI’s aquaculture insurance pilot project?

What’s happening to PEI’s aquaculture insurance pilot project? | Insurance Business Canada

Insurance News

What’s happening to PEI’s aquaculture insurance pilot project?

Participants offer insights as to where the initiative stands

Insurance News

By
Terry Gangcuangco

It was back in April when the government of Prince Edward Island (PEI) expressed its keenness to back an aquaculture insurance program in the province, provided that part of the cost is shouldered by the federal government and by the growers in a three-way split. So, where does the insurance pilot project currently stand in terms of progress?

A report published by the Responsible Seafood Advocate noted that growers are currently being surveyed so project stakeholders can come up with estimates for how much aquaculture product is being grown and what costs (including equipment and boats) are involved. Only then will the underwriters be able to approximate how much will be needed to cover PEI’s aquaculture sector.

According to Peter Warris, executive director of Prince Edward Island Aquaculture Alliance, part of the challenge is improving record-keeping among growers. When PEI’s Disaster Financial Assistance Program was rolled out in the aftermath of Hurricane Fiona in 2022, the lack of business information posed problems to claims filing.

“Record-keeping within the industry in terms of the smaller growers is probably not up to the standards that it needs to be for getting all the information supplied to people easily,” Warris was quoted as saying.

Meanwhile, according to the report, the province is waiting for the project proposal that will be submitted by the PEI Aquaculture Alliance.

For Tim Kennedy, president and chief executive of the Canadian Aquaculture Industry Alliance, the onus is on PEI leaders to push for cover.

Kennedy was cited as stating: “At the federal government level, we’ve made a little bit of progress in those discussions, but I think it really has to be driven by the province to say, ‘Look, this is a priority for us’.”

From the insurance industry, project participants include Mitchell McConnell Insurance and Cooke Insurance.

What do you think about this story? Share your thoughts in the comments below.