Important Agriculture Insurance

Important Agriculture Insurance

Important Agriculture Insurance

Business owners have a lot of options when it comes to small business insurance policies and a number of different companies to choose from.  Having the right farmers insurance is a must to protect your farm from losses in the event of an accident or disaster.  There are many different types of policies to choose from regarding farmers insurance and understanding those different coverages will help you find the right insurance for your specific needs.

Farm insurance is a form of risk management used to hedge against a contingent loss.  With Insurance you are transferring the risk of loss from one entity to another in exchange for a premium.  Farms has all the typical coverage needs of any business, property, liability, and workers compensation.  The right farm insurance helps protect your equipment, your crops, your livestock, and you livelihood.

Types of Farming Insurance Considerations:

Food Borne Illness:

This can be one of the biggest liability exposures of your farm.  Every week you turn on the news and there is a recall from a food borne illness.  When the investigation is going on, the government can limit production and even shut you down.  It is important to have the right coverage to make sure you protect your company and your livelihood.

Product Recall:

Product recall has 2 coverage components, first party and third party.  First party will coverage will make sure you cover your costs for loss of production and the expenses effecting you.  The third party coverage covers the cost of reimbursing stores or vendors for the cost they incurred.

Equipment Breakdown:

When you have a key piece of equipment breakdown you know how much that can affect your production.  With expensive and complicated equipment, you might have to call in a specialist to work on the equipment, and that could take days or even weeks.  It is important to have the correct equipment and interruption coverage in place.

Pollution Insurance:

This type of insurance protects against animal waste and other pollution, such as fuel and chemical spills.  It helps to pay for clean up costs and other costs associated with a spill.  This type of insurance also protects against fuel production.

Animal Mortality:

Animal mortality coverage can be a big part of your risk management program.  Animal mortality insurance covers the loss of an animal resulting from an accident, injury, sickness, or disease, and can cover voluntary destruction for humane reasons.

Weather Insurance:

Weather insurance protects your farm from crazy Mother Nature.  It is important to find an insurance program that can hedge against financial loss caused by weather disasters.




 

Go to Contractors1stInsurance.com to find more information on Insurance for Agriculture, Logging Insurance, and Landscape Insurance.