HOW FRUIT IS INSURED

Southland Times, Issue 20523, 27 June 1928, Page 8

HOW FRUIT IS INSURED

LOSSES COVERED AT MARKET VALUE. There was considerable discussion at the fruitgrowers conference in Wellington on the question of fruit insurance, particularly apples, after picking. The chairman (Mr. T. C. Brash) explained that there were several difficulties that the federation had to straighten out. It was difficult, for instance, to settle what was the correct insurance rate until the fruit had been sold. If the ship happened to sink they would be under the difficulty of discovering what those cargoes would have fetched. Thus the premium could not be easily ascertained till late in the season. However, it had been arranged that all losses would be covered at market value. In fact, a special committee in London which sat frequently decided what was the fair market value, and premiums were paid on those prices. Further, said Mr Brash, insurance started from the moment the fruit was delivered at the point of inspection. It had been found that it was much too complicated to make special individual arrangements as regards insurance. This would make it necessary to value every variety and every grade of apples from every orchard. This in itself would raise the cost of insurance without compensation advantages.