What Coverages Do Farm Policies Make Available?
Farms are multidimensional businesses that have multiplied risk mitigation needs, and insurance companies make many different coverages available to farmers. These coverages may provide personal protections, commercial property protections, commercial liability protections or other important protections.
Farmers who live on their property typically need personal insurance for farmers. Some of the personal coverages that policies might offer are:
- Household Dwelling Coverage, which may cover a house that’s lived in
- Household Personal Property Coverage, which may cover household belongings like clothes, furniture, appliances and electronics
Commercial property protections normally insure assets that a farm owns against potential damage or loss. Policies may offer insurance for farm assets through the following coverages:
- Barn and Outbuilding Coverage, which may cover barns, sheds and non-house outbuildings
- Farm Personal Property Coverage, which may cover machinery, tools, livestock and feed
- Commercial Vehicle Coverage, which may cover farm-owned trucks and trailers
- Crop Coverage, which may cover crops against destruction caused by severe weather
- Livestock Coverage, which may cover animals individually or as a group against catastrophic death
- Equipment Breakdown Coverage, which may cover essential equipment against unexpected malfunctions
- Loss of Business Income Coverage, which may cover losses in income caused by suspended operations following a disaster
Commercial liability protections help shield farms from certain lawsuits that might be filed against them. Some liability coverages that are generally available to farms include:
Do Farm Insurance Policies Come with Workers Compensation?
Many farms need workers compensation insurance for their employees. This coverage normally pays medical costs and lost wages that are associated with a job-related injury, and job-related injuries certainly are a risk that farmworkers face.
Whether workers compensation is included in a farm policy depends on the policy. Some policies include this coverage, while others leave it to be purchased through a separate policy. In either case, an agent who helps with insurance for farmers can assist with workers compensation.