What Is Farm & Ranch Insurance?
Farm and ranch insurance is a hybrid type of coverage designed to protect farm and ranch owners both commercially and personally. This form of insurance is similar to a standard homeowners’ policy and can typically be customized to match your specific needs. Given the fact that every ranch or farm is unique, an insurance agent will typically visit the site in order to verify that the property is completely covered.
It is important for farm and ranch owners to acquire this type of coverage given the occasionally perilous nature of their work. According to the Bureau of Labor Statistics, ranchers, farmers, and other agricultural workers in 2014 encompassed those working the sixth-most-dangerous job in the United States, as evaluated by the number of fatal injuries per 100,000 people.
Areas Of Coverage
Most farm and ranch insurance policies include three major areas of coverage: dwelling coverage, breakdown of machinery and other equipment, and livestock coverage. Here is a close look at each of these coverage areas.
This coverage shields your physical residence from weather-related damages (lightning, fire, hail, windstorms, etc.) and damages that arise from incidents of theft and vandalism. Dwelling coverage also protects your personal belongings (clothing, furniture, artwork, etc.) as well as any structures that are attached to your farm or ranch (garage, deck, etc.). In order to obtain coverage for detached structures, you will likely need to purchase an extended policy. Damages resulting from floods and earthquakes are also generally not covered by dwelling insurance, although insurance policies that specifically protect you against these incidents exist.
This type of coverage protects you against financial losses resulting from damage to machinery and other equipment you own. This includes tractors, planters, cotton pickers, combines, and hay rakers. Portable irrigation equipment is also covered in many cases. If you utilize a truck to perform farm work, you may have the possibility of bundling a commercial auto insurance policy and adding it to your overall insurance plan. According to a 2018 survey conducted by nonprofit organization Consumer Reports, approximately 25% of new appliances malfunction after five years or less.
Many farm and ranch insurance policies include broad coverage for livestock (poultry, cattle, etc.) in the event that they are injured or killed following an incident covered under your policy, known as a “basic peril.” If one of your animals is struck by a vehicle or train, the resulting loss may only be covered under an extended policy. The same is typically true for incidents where dogs and other animals attack your livestock.
If you own a horse, the livestock portion of a farm and ranch insurance policy may cover medical expenses for the horse (including surgeries) and loss of use. If you only ride your horse for pleasure, however, you likely do not need extensive coverage.
In addition to these areas of coverage, there also other types of coverage you may purchase if you own a farm or ranch. These include general liability insurance, which can protect you if someone who visits your residence becomes injured on your property. You may also acquire product liability insurance, which covers you in the event that the food or other products you sell cause someone to fall ill.
You should also know what is typically not covered by farm insurance. Fencing, for example, is seldom covered under such policies. Cars and other personal vehicles are also not covered. Additionally, certain insurance carriers may require that there be solid gravel or paved road leading to your residence in order for it to be eligible for farm and ranch coverage.
Talk To The Farm & Ranch Insurance Experts
Reach out to the professionals at John M. Glover in Norwalk, Connecticut for more information on farm and ranch insurance and its benefits. Since our founding in 1916, we have been dedicated to helping our clients obtain high-quality insurance solutions that are customized to meet their unique needs. As an independent agency, we work closely with several major insurance carriers.
If you own a farm or ranch, you can purchase a policy with us. Our policies include dwelling coverage, fair rental value coverage, loss of use, and outbuilding coverage (for sheds, barns, and detached garages). We also provide coverage for livestock and equipment breakdown. We can cover several different types of farms and ranches, including equine, dairy, poultry, and cattle ranches. Our comprehensive coverage options are guaranteed to meet your needs.
Call JMG Insurance Agency today at (844) 304-7332 or contact us online to receive a quote.