The calculator is available here.
Please use the Terrafirma counting rules when entering your total properties and easements on the calculator.
Use your best judgment. You are the most accurate judge of your level of non-rural land holdings.
The board assessment for additional reserves is optional and at the discretion of your board of directors. Leave it blank if you are unsure. The calculator provides it as an option for land trusts who feel they have additional risks the calculator does not take into account.
Your calculated reserves will be the same for the first year of your land trust’s Terrafirma membership. After that, the calculator uses a sliding scale to reduce predicted reserves for each year Terrafirma insurance covers your land trust’s risks.
The reserves calculator calculates an aggregate defense fund, so it is not ideal for assigning a reserve pool for an individual project. The simplest method for determining additional reserves for a new project is by running the calculator with the project and without it and noting the difference. If you suspect it may not accurately reflect the additional risk to your land trust, please contact us for suggestions on other ways to calculate the additional reserves for that parcel.
The calculator compares the situation of your land trust with the characteristics of hundreds of other land trusts to determine if your risk profile is more or less like those that have experienced legal challenges. If your land trust is more like those that have had challenges, the calculator reports that you have above average risk. If it is less like those that have had challenges, it reports below average risk. If it is directly in the middle, it reports average risk. This does not mean that you are doing anything wrong or that you necessarily need to change what you are doing. It’s just a calculation to help you plan.