From commercial to hobby – we have the insurance your farm needs
Aug 23, 2016 4 minute read
We have decades of experience serving the insurance needs for all types of farms – from commercial to hobby farms, our BrokerLink brokers are experts at helping you find customized coverage that’s right for you.
Do I need farm insurance?
BrokerLink’s farm insurance program is designed for agri-business operators, specializing in coverage for a variety of farming operations. While not every farm is used to generate income, each farm is unique and therefore its coverage should be too. You may be asking yourself, “How do I know if I need farm insurance?” If you answer ‘yes’ to any of the following questions, investing in a farm insurance policy is a good idea:
Do you grow and sell any crops?
Growing and selling fruits, vegetables, grains or other cash crops requires you to have a commercial farm insurance policy.
Do you have any animals on your farm?
Livestock such as chickens, cows, pigs, horses and sheep can only be protected by a commercial farm insurance policy.
Do you have barns or other large outbuildings?
Acreage properties commonly have barns, riding arenas or other outbuildings. Often these buildings store crops, farming machinery and even animals. In the event of loss or damage to one of these buildings and its contents, you will be glad you had proper insurance in place.
Do you use farm machinery?
Tractors, plows and combines are expensive pieces of machinery. Additionally, they are often a critical part of farming operations. A commercial farm insurance policy will cover any repairs that occur as a result of an insured loss.
Do you rent your land to a farmer?
While you may not conduct any farming operations on your land, you may rent it to someone who does. The rented land is your responsibility and should be insured properly.
Three types of insurance your farm needs
The agricultural sector is different in each province and between different regions within a province. Wherever the location, there are a few types of farm insurance coverage every farm should have in place:
1. Liability Coverage
Regardless of the size or product, farms present a high level of risk. This is why it is important to have liability insurance in place. Farm liability coverage will protect you as the farm operator (business owner) from being found legally responsible in the event of an incident that causes property damage or bodily injury. This could range from a visitor injuring themselves while on your farm or the mishandling or improper labelling of a food product you produce on your farm. Your liability policy also provides defence and damage costs should you have to pay any reparations to the claimant.
Pro Tip: If your home is located on the same property as your farm, it is commonly misunderstood that the liability coverage on your home insurance policy would cover any liability claim resulting from your business. Liability coverage on your home insurance will not provide coverage for any injury or damage resulting from your agri-business operations.
2. Home or Dwelling Coverage
If your home or primary residence is located on the same property as your agri-business operation, you will need a home insurance policy to protect you and the contents of your home against risks such as fire, burglary and hail. Your home insurance policy will also provide coverage for rebuilding your home and replacing your belongings in the event of an incident or total loss. Do you have the home insurance you need? We can help you answer that question here.
3. Business Interruption Coverage
Farming is more than a job, it’s a lifestyle. Should your farm experience a fire or loss that causes you to halt operations, business interruption insurance can help. Business interruption insurance will cover the cost of lost revenue and any additional expenses that result from your agri-business being temporarily shut down. This is just a sampling of the types of farm insurance coverage we offer. In addition, your BrokerLink broker can create a policy that provides you with customized coverage for:
- Loss of use of farm machinery
- Debris removal
- Fuel and tank
- Newly acquired or newly leased farm machinery/equipment
- Customized livestock reporting
- Customized farm machinery
- Equipment breakdown
- Solar panel coverage, including loss of income
- Property of Every Description (POED)
- Private power and light poles
- Standing crop
- Veterinarian supply
The BrokerLink Farm Advantage – new for Ontario
Ontario farmers can speak to their BrokerLink broker about the new Farm Advantage program. Featuring insurance benefits and discounts, Farm Advantage is geared towards both commercial and hobby farms in Ontario.
Launched in partnership with Heartland Mutual Farm Inc., and Trillium Mutual Insurance Company, the Farm Advantage program offers two key benefits:
- Farm Advantage customers pay one low price for coverage that is normally sold individually. Endorsements such as non-owned equipment coverage, first party pollution and miscellaneous tools as well as equipment coverage have been bundled for maximum savings.
- Eligible customers can qualify to have the deductible waived on their first loss and have their first claim forgiven. Each year, Farm Advantage customers with a minimum of $5,000 in premium can earn points by:
- Referring customers to BrokerLink
- Attending a farm tradeshow
- Completing an annual review with their BrokerLink broker
- Receiving a quote on an additional insurance product
With enough points, customers will qualify to have their deductible waived (up to a maximum of $1,000) and their first claim forgiven.
Several BrokerLink brokers are not only insurance professionals, but knowledgeable farmers as well. If you are interested in speaking with a BrokerLink broker to get a quote on your farm insurance, e-mail [email protected].