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The provision of acurate stock projections for any farm to be insured is of crucial importance. Accurate stock projections form the corner stone for defining the values at risk during the period of insurance and as such the maximum cover amount which will be assigned to the policy. Stock projections also allow a number of important values to be calculated which have great importance on any insurance. Some of the most common are detailed below.
The average sum insured is calculated on the mean/average of the total product of all the months to be insured. In the example included the average sum insured will be calculated as follows:
Product / total of all months to be insured: 26,7000,000
Average/mean = 26,700,000 ÷ 12 = 2,225,000
Average sums = 2,225,000
The maximum sum insured is based on the maximum declared projected value. In this example the maximum insurable value occurs in July at 3,200,000 (shown in red).
Projected values should represent the production cost of rearing the fish on site and should not be based on final market values.
This is a scale of values per weight of fish and / or per fish and is used to calculate the stock projections. It is also used to calculate the value of a loss should an event occur. For example €4 (Euros) per kilo.
Projected values and Basis of Indemnity should represent the production cost of rearing the fish to harvesting and should not be based on final market values.
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January |
1,300,000 |
February |
1,500,000 |
March |
1,600,000 |
April |
2,100,000 |
May |
2,400,000 |
June |
2,900,000 |
July |
3,200,000 |
August |
2,900,000 |
September |
2,500,000 |
October |
2,500,000 |
November |
2,300,000 |
December |
1,500,000 |
TOTAL |
26,700,000 |
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