In keeping with their innovation in emerging markets, and supporting fledgling economic growth here in Canada, CHES Special Risk Inc. responds to the growing fish farming Industry here in Ontario.
“Aquaculture, or farmed seafood, is today among the fastest food producing sectors in the world. It’s healthy and nutritious and accounts for nearly half of all the seafood in the world”, states a recent press release from the Canadian Aquaculture Industry Alliance, “Few jurisdictions can match Canada’s natural advantages when it comes to aquaculture – an enormous coastal geography, an abundance of cold, clean water, a favorable Climate, a rich marine, and fishery tradition, established trade partners and a commitment to protect our environment”, the release went on to say.
Aquaculture occurs in every Province in Canada and accounts for $3.1 billion in economic activity and employs over 15,000 workers and generates over one-third of the total value of Canada’s seafood production, that’s a lot of fish!
In response to demand, CHES Special Risk Inc. has developed a Stock Mortality Insurance Package for Companies or individuals rearing aquatic animals (vertebrates or invertebrates) for commercial purposes.
Our target appetite is as follows:
- Edible and ornamental fish.
- Bivalve mollusks such as mussels, scallops and oysters.
- Gastropod mollusks such as abalone.
- Crustaceans such as shrimp, crayfish and lobsters.
- Higher vertebrates such as frogs and turtles.
Coverage is available for stock mortality either as a result of nominated perils or on an “all risks” basis according to the nature of the risk and preferred premium spend of the insured, for risks that are both land-based, or offshore in Lakes or other large bodies of water.
Indemnity is agreed at the outset with an “agreed value” established in the policy and is calculated using the production cost of fish or shellfish of less than market size and then market value of larger stock. This may be reviewed during the currency of the insurance.
Mortality cover indemnifies the insured against mortality or physical loss of stock, which can include drowning and normally includes cover for the total loss of market value of stock.
Associated with the Production of a food source is the potential for Product Recall as a result of pollution and coverage may also be offered against Accidental Product contamination during processing, Malicious Product tampering during processing and Product extortion demand.
CHES Special Risk Inc. is able to offer coverage associated with the costs of recall including pre-recall costs, increased cost of working, product rehabilitation costs, incident response costs and loss of income may be covered.
Buildings Machinery and Equipment and General Liability associated with the farms are also available from our experienced team of underwriters.