Summer Storm Activity Causes Significant Crop Damage

The Canadian Crop Hail Association crunching the numbers from the summer storm activity to file their final report for the year.

 

2020 was below the 5-year average for claims but saw higher than average claim payments.

 

More than 12,100 claims in Western Canada resulted in insurance payouts of over $192 million with producer premiums totalling just over $300 million for an industry loss ratio of 64 percent.

 

Overall, Alberta was the hardest hit with an industry loss ratio of 83% similar to 2019. Saskatchewan followed with a 65% loss ratio, down from 95% a year earlier while Manitoba saw limited hail activity posting a 29% loss ratio after suffering a 93% loss ratio in 2019.

 

Alberta hail claims result in second straight year of negative results.

 

Alberta’s storm activity resulted in similar activity to 2019 for the industry. An early severe storm that pummeled the city of Calgary also caused crop damage, however, early crop recovery helped lessen industry losses. Claim activity was up over 26% compared to the 5-year average, while claim severity at more than $20,000 per claim was higher by more than 20% compared to the average. Total hail payments for 2020 were reported at just over $69 million. The overall reported loss ratio was 83%. Total sums insured increased for 2020, with rates appearing to stabilize.

 

Saskatchewan reported average loss year.

 

Saskatchewan saw a decrease in storm activity compared to 2019. A late August storm dampened what was looking to be a light hail season for industry insurers. The late storm on harvest ready crops was the most expensive of the year. Claim activity was down 1% compared to the 5-year average, while claim severity at $13,000 per claim was a decrease of about 15% compared to average. Total hail payments for 2020 were reported at just over $163 million. The overall reported loss ratio was 65%. Total sums insured increased for 2020, with average rates continuing to soften.

 

Manitoba records light hail activity for 2020.

 

Manitoba recorded a decrease in storm activity compared to 2019. Little storm activity resulted in positive results for the province. Claim activity was down 59% compared to the 5-year average, while claim severity at $9,900 per claim was down 22% compared to the average. Total hail payments for 2020 were reported at over $15 million. The overall reported loss ratio was 29%. Total sums insured decreased slightly for 2020, with average rates decreasing slightly as well.

Video: Evolution of Beef Cattle Farming

The Clear Conversations podcast took to the road for a special episode recorded in Nashville during CattleCon, bringing listeners straight into the heart of the cattle industry. Host Tracy Sellers welcomed rancher Steve Wooten of Beatty Canyon Ranch in Colorado for a wide-ranging discussion that blended family history and sustainability, particularly as it relates to the future of beef production.

Sustainability emerged as a central theme of the conversation, a word that Wooten acknowledges can mean very different things depending on who you ask. For him, sustainability starts with the soil. Healthy soil produces healthy grass, which supports efficient cattle capable of producing year after year with minimal external inputs. It’s an approach that equally considers vegetation, animal efficiency, and long-term profitability.

That philosophy aligned naturally with Wooten’s involvement in the U.S. Roundtable for Sustainable Beef, where he served as a representative for the Colorado Cattlemen’s Association. The roundtable brings together the entire beef supply chain—from producers to retailers—along with universities, NGOs, and allied industries. Its goal is not regulation, Wooten emphasized, but collaboration, shared learning, and continuous improvement.