The In Transit Protection Program (ITPP) is a program created by the Western Hog Exchange (W.H.E.) to protect producers against in-transit losses.

The ITPP program is a voluntary program. All producers of Alberta animals, sold through facilities of the W.H.E, automatically participate in the ITPP unless written notice of their desire to withdraw is received by the W.H.E.. A producer who has withdrawn from the program may subsequently renew participation by applying in writing to the W.H.E.. Such renewal, however shall be subject to a 90 day waiting period.

Producers wishing to opt out or subsequently renew in this program must complete a "ITPP Enrollment/Exemption Form" which can be downloaded by clicking the link provided.

DEFINITIONS

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HOG

Any market weight animal, either male (castrated) or female, offered for sale by a producer and deliverable to the sale destination point or processor licensed by the W.H.E. and one that is destined for slaughter.

SOW

Any large female animal offered for sale in the same manner as hogs.

STAG

Any large male castrated animal offered for sale in the same manner as hogs.

BOAR

Any large male intact (not castrated) animal offered for sale in the same manner as hogs.

SUBJECT

Any animal that show signs of distress, disease, extensive bruising or crippling, or where the power of locomotion is impaired.

CONDEMNED

Any live animal or animal carcass which is condemned by Agriculture Canada Health of Animals inspection personnel.

PERIOD OF TRANSPORTATION

Period commencing with loading of healthy animals upon a transporting vehicle in the producers yard and terminating when the hogs become the legal property of the purchaser (upon arrival at the packing plant).

DEAD ON ARRIVAL

Any animal that dies during or upon termination of the period of transportation.

SCOPE OF COVERAGE

Subject to the conditions, limitations and definitions contained herein, subscribing producers shall be indemnified for loss sustained based upon the fair market value (100 index) of hogs during that period of transportation.

All animals in healthy condition at the time of loading upon a transporting vehicle that qualify for payment using the producers current hog carcass grading grid (for dressed weight market animals), and including those animals sold on a liveweight basis and those sold under special contracts.

1. Losses for HOGS which are dead on arrival shall be settled on the basis of : (i) Weight calculated using average dressed weight for the shipment in which the loss occured; (ii) Index using the lesser of 100 or the maximum index obtainable by classification; (iii) Price using the producers 100 index base price established for the shipment in which the dead hogs occurred.
2. Losses for SOWS AND BOARS which are dead on arrival shall be settled on the basis of: (i) Weight calculated the same for hogs; (ii) Price using the sow and boar price established.
3. No dead on arrival losses shall be settled unless the dead animals are delivered to the purchaser or salvage company, and the cause of death is indicated on a properly completed and signed ITPP loss report.
4. Indemnifiable condemned hogs shall be settled on the basis of actual grading and dressed weight.
5. The producer shall be reimbursed for the in-transit trim loss sustained to any animal which is received by the purchaser and was not previously classified as a subject on the producer receipt and which subsequently has a trimmable demerit assessed against said animal for fractures or bruising only ($10 minimum).
6. All losses involving frostbite demerits to animals shall be administered on the basis of individual circumstances and assessment ($10 minimum).
7. A $10 deductible will be deducted from ITPP claim payments on each animal loss (not partial losses). This will not affect the Producer's ITPP premium rate.

ANIMALS NOT COVERED

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1. Any animal which is identified as a farm origin subject.
2. Any animal which is condemned for reasons of farm origin disease.
3. Any animal weighing 85kg (187 lbs) liveweight or less

PREMIUM RATES CHARGED

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All subscribing producers will be assessed a rate for each entire quarter based upon each individuals previous quarters loss ratio on a per 1,000 hogs shipped basis. Each producers quarterly loss ratio is calculated as follows.

(No. of Alberta Losses for Quarter / Volume for Quarter) x 1000

If a producers loss ratio improves (lowers) for an entire quarter, then his premium rate will also be lowered for the next quarter.

Producers who have a loss ratio for the previous quarter of less then 1 per 1000(0.00-0.99) are charged the lowest rate (base rate) of the premium which is $0.10 (10 cents) per $100 of gross value.

Loss Ratio Category	0-0.99	1-3.99	4-9.99	10 &up
Premium Rate	$0.10	$0.21	$0.32	$0.60

Please note quarterly rates may be altered without prior notice by the W.H.E

Last Updated February 12, 2016

If you would like further information regarding the in-transit program, or would like a form mailed to you, please contact us.

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WHE General

(780) 474-8292
Fax: (780) 471-8065
whe@westernhogexchange.com