AFSC Audit Process
Agriculture Financial Services Corporation (AFSC) annually conducts production audits to verify the accuracy of our clients Harvest Production Reports.
We do this in order to ensure we maintain the Annual Crop Production Insurance Program’s integrity and accuracy of the insurance coverage provided to our clients. Each year, a five per cent sample of AFSC clients who have purchased production insurance for that crop year is randomly selected for audit. This fundamental process has been in effect for a number of years.
When clients secure crop insurance, they agree to AFSC’s Contract of Insurance. The contract entails the obligation that clients allow AFSC immediate access to production records, lands and grain storage facilities for the purpose of an audit. Failure to meet this obligation is deemed a breach of the Contract of Insurance. The consequences of a breach are:
- the insured production level for the crop year in question will be recorded as zero, and;
- the client becoming ineligible to secure crop insurance with AFSC for the next two years.