Program directory · Agriculture and Agri-Food Canada

Livestock Price Insurance Program

Department

Agriculture and Agri-Food Canada

Program code

BWP14 (AGR)

Core responsibility

Sector Risk

In Departmental Plans

2024-25 – 2026-27 · New since an earlier plan

What it does

The Livestock Price Insurance (LPI) Program is a risk management tool that complements the Federal/Provincial/Territorial suite of Business Risk Management programs. LPI is a price insurance program that allows cattle and hog producers to purchase insurance coverage against unanticipated declines in cattle and hog prices over a defined period of time. Producers pay the entirety of the actuarially-sound insurance premiums, while the program administration is cost-shared between the federal government and the provinces. The federal government also provides deficit financing loans, in the case where indemnities exceed premiums collected.

The program is currently available in British Columbia, Alberta, Saskatchewan, and Manitoba. The program is provincially administered and each individual province offers its own producer-facing services for insurance policy sales and client interaction.

The program offers a flexible, forward-looking insurance product established on the futures market. When an LPI insurance policy expires, the coverage purchased is compared to a cash market settlement price. If the settlement price is below the insured price, a payment of the difference is made. The Livestock Price Insurance Program is thus designed to provide a ‘floor’ price that acts as protection for down-side price risk, while enabling producers to benefit from price increases.

Source: the department's Program Inventory, via GC InfoBase.

History and lineage

First appears in GC InfoBase's actual spending by program in 2023-24. The data does not record when a program was created; it may be older than its first appearance here, which is limited by the sources (program spending starts in 2010-11, Departmental Plans in 2018-19).

No earlier or later program in the same department has a similar name.

Significant changes in scope and budget

Success criteria

The program's indicators from its department's Departmental Results Framework: the target set in each year's plan, and the result reported the following year. Source: GC InfoBase.

Spending and employees: planned against actual

Spending

Employees (FTEs)

Planned spending, plan by plan

Each row is one year's Departmental Plan and its forecast for the next three fiscal years; read a column down to see how the forecast for one year changed. The last row is what was actually spent. Click an amount for its source. Biggest changes in federal spending plans

Actual spending is from Departmental Results Reports and the Public Accounts, as published in GC InfoBase. FTEs are full-time equivalents.