Evaluating an Indemnification Program

The Animal Health Protection Act gives the USDA APHIS authority to establish and implement an indemnification program to prevent or eradicate an HPAI outbreak.  

Indemnity is part of the disease control program that provides fair compensation to owners for their financial losses due to eradication of AI infected birds.  Appraisal of the fair market value of birds is estimated using several factors that consider the purpose for which the animal is being reared as well as its age, breed, physical condition, and potential production.3

  • USDA indemnity is not certain. It is subject to funding.
  • USDA compensates up to 100% of losses from a highly pathogenic avian influenza outbreak. The standard rate for low pathogenicity avian influenza is 50% of fair market value.
  • Some industry associations, such as those on the Delmarva peninsula (Delaware, Maryland, and Virginia), have their own compensation funds. Check with your state for supplemental compensation for losses during an outbreak.

Appraisal Procedures

  • A foreign animal disease diagnostician (FADD) will determine if domestic birds are infected or exposed to HPAI virus.
  • The FADD will conduct a preliminary inventory of birds and materials that will need to be assessed and managed.
  • Next, an Appraisal Unit Leader will discuss any high value birds with the owner before an appraisal team is sent to the premises.
  • In general, domesticated birds and other livestock will be appraised first and materials such as feed will be appraised last.
  • In most cases, appraisal is performed prior to depopulation.

For more information on Avian Influenza Indemnity Program click here.