Home | Broilearn | Breeds of Chicken | Housing | Nutrition | Brooding | Diseases | Recent Trends | Poultry Farm Equipment POULTRY INSURANCE Back Inspite of all precautions, accidents do occur. Earth quakes, floods and cyclones occur frequently causing loss of lives and damage to property. Hence, it is necessary to adopt more effective techniques or devices or methods to deal with the problem ‘risk’ in modern society. Insurance is one of the important methods to deal with risk where by it is transferred to an insurer. Insurance Concept Insurance is a concept which provides for collection of small amounts of premium from many individuals and firms out of which losses suffered by a few are reimbursed. Insurance in India In 1972, the General Insurance Business (Nationalization) Act, 1972 was passed. Under the provisions of this Act, the General Insurance Corporation of India was established by the Government with effect from 01.01.1973. All the 107 insurance companies were merged with one or the other of the four subsidiaries of the General Insurance Corporation thereafter. The four subsidiary companies are: The Oriental Insurance Company Limited New India Assurance Company Limited National Insurance Company Limited United India Insurance Company Limited Insurance industry is opened to private players as per IRDA Act 2000 and a few private players have started insurance business in India. Insurance Packages for Poultry Industry This is where the insurance would take care of the poultry farmers whenever they are exposed to the above stated risks. This is explained by the following example. Poultry Farm of 10000 birds Peak value of Bird Rs.75/- premium rate 3.5% Premium payable for year: Rs.28928/- Premium for 5 years Rs.144640/- If there be a loss once in 5 years and assuming that 20% of Birds die, compensation payable to the farmer (Rs.1,50,000) is equal to the premium paid by him. Indian Insurance Industry has developed many packages which will take care of the following possessions of the poultry farmers: Poultry houses and equipment like Sprinklers, Cages, Waterers, Feeders Poultry Birds Feed mixing plant, raw material for poultry feed and feed mix Personal assets of the poultry farmers in his house Health requirements of the farmer Important products available are Poultry insurance for poultry stock Fire insurance for poultry houses, feed plant, sprinklers, feed stock etc. House Holder’s insurance of assets of poultry farmer at his residence Personal Accident insurance for the farmer and his family members Health insurance for the farmer and his family members Applicability The scheme is applicable to poultry farms consisting of all types of exotic and cross-bred poultry birds in India. All birds in a farm should be covered. After issuing the policy, if additional birds are introduced in the farm, immediate notice to be given to insurer otherwise claim Under bank finance: For all types of birds – 500 General: Broilers - 100 per batch Layers - 500 per batch Hatchery - 2 000 per batch All birds on the farm should be covered. After issuing the policy, if additional birds are introduced on the farm, immediate notice must be given to the insurer; otherwise any claim will be repudiated. Age Group: Broilers - 1 day to 8 weeks 1 day to 6 weeks Layers - 1 day to 20 weeks 21 weeks to 72 weeks 1 day to 72 weeks Hatchery or breeder farm - 1 day to 72 weeks Premium rates: Premium rates are no longer fixed on the basis of the size of the population but are instead applied to the value of the flock: Broilers 1 day to 8 weeks - 1.5 percent of the peak value 1 day to 6 weeks - 1.2 percent Layers 1 day to 20 weeks - 3.2 percent 21 to 72 weeks - 3.5 percent 1 day to 72 weeks - 5.5 percent Hatchery or breeder farms - 5.0 percent The premium rate will be applied on the peak value of the birds in each of the above categories to arrive at the premium payable per bird. Valuation factor for Broiler chicks : Valuation chart will be worked out on the basis of multiple factor given in the formula as shown hereunder: Weeks Multiplying Factor 01. 0.160 02. 0.336 03. 0.709 04. 1.270 05. 1.962 06. 2.882 07. 3.815 08. 4.750 The multiplier is to be applied together to the prevailing feed cost and day old chick cost, to arrive at week-wise valuation. Insured sum: The value of the bird is fixed in relation to the age of the bird, and a valuation chart is prepared. The insured sum is fixed according to the valuation chart which is calculated on the basis of the maximum value selected per bird. Policy exclusions : The policy will not pay for the losses caused by: Malicious or willful injury, negligence; Transit by any mode of transport; Improper management; Theft and clandestine sale of birds; Intentional slaughter of birds; Consequential loss; War and nuclear perils; Marek’s disease, Newcastle disease, Fowl pox and Infectious Bronchitis unless the birds have been protected against them; Loss of production, malnutrition, undergrowth, cannibalism, loss due to huddling and piling of birds; Avian Leucosis Complex (ALC). Veterinary examination : A veterinary certificate from a qualified veterinarian is necessary for acceptance and granting of insurance cover, as well as for the settlement of claims. Important conditions: All birds on the farm should be insured. Poultry farms should have a veterinary facility of their own or on a consultancy basis. The birds should be given properly balanced and standard food, water and light. Debeaking and deworming should be carried out regularly, and records to that effect must be maintained. The minimum number of birds prescribed has to be maintained. All the birds should be covered on a flock basis, and thus no identification is necessary. The farmer must keep all the essential records on the farm. The farmer must not resort to replacement of chicks in affected sheds. The cages must be maintained properly and of normal standard. Claim procedures: In the event of the death of birds, immediate notification must be given to the company. The following documents are to be furnished within 15 days: A claim form duly certified by a veterinarian; Daily records of mortality, feeding, etc.; Purchase invoices for the birds; Other proof to substantiate the loss, like photographs, medical bills, etc., as and when required. In the case of an outbreak of any disease, notice must be given to the company within 12 hours, and all birds must be segregated and produced at the request of the company representative or any person who has been authorized by the company to carry out an inspection. Daily mortality details must be sent to the company on a weekly basis, failing which, the report will be treated as nil for that particular week. Protective cover, in the form of insurance policies, is also available for ducks and Japanese quail. Records to be kept for claiming insurance: Proposer must keep all the essential records as mentioned below at the farm Flock record on day to day basis – daily stock register Mortality Record Culling Register Vaccination and inoculation particulars Feed consumption Production record Debeaking Incidence of diseases Purchases and sales Various Standard Forms : Proposal form Veterinary certificate for acceptance of risk (Fitness Certificate) Claim Form Back Developed by : Dr.Rahulpreet Singh ( M.V.Sc Scholar )  Dr. Pranav Kumar (Assistant Professor) Dr. Amandeep Singh (M.V.Sc Scholar, IVRI ) Scroll Division of Veterinary and Animal Husbandry Extension Education Faculty of Veterinary Sciences and Animal Husbandry, R.S. Pura, SKUAST Jammu