Farm, Ranch, & Agribusiness Insurance
What is Farm & Ranch Insurance?
Farm and ranch insurance is a hybrid form of coverage meant to protect you both personally and commercially. Like a standard homeowners policy, farm insurance can cover your home, possessions and personal liability as long as it is directly related to the farming or ranch operation. Beyond that, it also includes coverage for your machinery and livestock
What is covered with Farm & Ranch Insurance?
Protects the policyholder from financial loss or damage of their machinery and equipment due to covered perils. Covered machinery and equipments can include, tractors, combines, cotton pickers, planters, field equipment, and hay rakers.
Feed, grain, seed and similar items considered farm products are covered by farm insurance.
Most farm insurance policies offer broad coverage of livestock in the event they are killed or injured as a result of a basic peril that is covered. There also are extensions that cover a much wider array of perils that that can happen to farm animals.
Farm and Ranch insurance also provides liability protection. It can cover bodily injury, medical expenses and property damage if necessary.
What is Agribusiness Insurance?
Agribusiness insurance protects not only your company but it also provides peace of mind for your shareholders and other individuals or entities that may hold interest in your company. Sudden disruptions from unexpected weather to mechanical breakdown can seriously reduce profits and put your company in jeopardy.
What is covered with Agribusiness Insurance?
In the event of food-borne illness or other possible problems, a general farm liability policy may not cover the products you sell from your farm.
Revenue recovery due to man-made or natural causes where property has suffered significant damage.
Should your employee or hired hand become injured while on the job, you need insurance to cover that.
Covers tractors or custom equipment
Recovery for full or partial equipment breakdown or damage
Gas or diesel storage maintenance can pose a fire or pollutant hazard
Because many farms supplement their income with farm tours, working farm days or hay rides, farmers need coverage should a guest become injured while on their property.
In the event of food-borne illness or other possible problems, a general farm liability policy may not cover the products you sell from your farm.
Difference between Agribusiness and Farm & Ranch Insurance
Agribusiness insurance addresses the vulnerabilities of a larger, corporate approach to farming, whereas farm and ranch insurance protects a smaller entity.
Several factors can help you distinguish between farm & ranch and agribusiness insurance:
- Size: typically a family farm is considerably smaller than an agribusiness which may require more coverage
- Structure: family farms are connected to local markets, whereas agribusinesses operate on both a local, national and possibly global scale
- Planting: an agribusiness will normally grow one single crop or crop type, whereas the family farmer tends to be more diverse
- Financial: agribusinesses are run more like corporations and may have shareholders. Family farmers try to minimize losses and rely on profit that the family can share and invest in farm maintenance and upkeep
Both farm & ranch and agribusiness insurance needs are important to maintaining a healthy company. Rely upon an experienced underwriter to explain the policy differences and find one that works best for your farm.
