MPA is Account Receivable Insurance.
Until now, most farmers could not access Account Receivable Insurance, they were too small, or did not have annual sales high enough to interest insurance companies. The FNA farm business alliance makes this opportunity possible because of the power of farmers working together.
It can be risky dealing with new customers in new markets.
MarketPower Assurance let’s you enter those markets without
the risk and worry of not getting paid.
How Does it Work?
The program provides low cost, invoice-by-invoice, pay as you go insurance coverage.
All agricultural products are covered including commodities, processed foods and farm inputs (fertilizer, chemicals and fuels). When you insure a sale, if the buyer defaults due to insolvency, bankruptcy or slow payment, payment is assured on 90% of the value of the invoice. If the insurer underwriting the Program collects the full amount of the debt, the seller will recover the full amount of the invoice.
Coverage costs approximately half of 1% (50 basis points) for sales terms up to 90 days on buyers in Canada, the US and select countries around the world.
If you don’t get paid, we pay you. Learn More
Explore New Markets
Expand your sales to new customers and safely secure premium prices others can’t.
Find the Best Customers
Sell to a secure and pre-qualified buyer pool. No “betting the farm” on sales to new buyers.
Additional Working Capital
Most financial institutions will lend you up to 90% of the value of a sale that is insured.
Command a premium for your products. Defer payments and avoid costly cash flow problems.
What will it do for me?
Credit insurance is used by companies to protect their accounts receivable and is the basis of the MarketPower Assurance program.
Sales of agricultural commodities to domestic and export customers carry the risk of non-payment. This can be due to risks like buyer insolvency, buyer default or political risks, where exports are involved.
With MarketPower Assurance, a valuable credit insurance program is now available to individual producers across Canada. And it’s available for all types of farm production: grains, livestock, fruit and vegetables, horticulture, specialty crops and more.