Farm Insurance

As a farmer, your hard work can lead to lucrative income and rewarding results. However, the inherent dangers of working in agriculture necessitate careful planning for unexpected hurdles and mishaps. Even isolated incidents and minor accidents could quickly lead to significant financial consequences. That’s why understanding and acquiring appropriate farm insurance may be critical to responsible operations.

Why Is Farm Insurance Important?

When addressing your farm’s insurance-related needs, you should first understand that farm insurance does not always refer to a single type of policy available from carriers. Instead, this term is often used to describe the various policies and coverages needed to address your farm’s many relevant risks and exposures.

This farm insurance portfolio plays a crucial role in the financial stability of your farm, as well as your peace of mind. The right coverage can allow you to focus on growth, goals and daily operations, rather than constantly worrying about the potentially devastating repercussions of something going wrong.

Is Farm Insurance Required?

The ideal contents of your farm insurance can vary significantly, but you should be well aware of any formal requirements. Failing to adhere to certain laws or other regulations could incur expensive monetary ramifications, including noncompliance fines and even being forced to shut down operations.

Specifically, the following types of insurance are often required:

• Workers’ compensation insurance is required for most employers and can ensure employees who are harmed while conducting their duties can receive the medical and financial aid needed to manage the aftermath. Additionally, it may help cover legal expenses if affected workers sue your farm.
• Commercial auto insurance is also typically mandated by law for businesses that use motor vehicles in their operations. Whether you use trucks, vans, tractors or other automobiles, you’ll need adequate coverage to manage vehicle-related losses and expenses and ensure legal compliance.
• Commercial property insurance is not typically required by law. Still, if you have a mortgage on your farm, lenders may require you to carry coverage as long as your loan remains outstanding to protect their own financial interests.

We’re Here to Help

Contact McCallum Agency today to learn more about farm insurance or to compare personalized quotes for coverage.