Top 6 Ways to Customize Your Farm & Ranch Insurance Policy

Whether you tinker around a converted greenhouse out back or farm 5,000 acres to earn a living, you need farm and ranch insurance. However, finding a farm insurance policy that covers everything you need isn’t always simple.

An insurance policy does one thing: It protects you and your family against unexpected losses. But on a farm or ranch, those losses can come in many varieties, and there are just as many ways to build your policy.

Farmers and ranchers face distinct challenges and risks. No two farms are the same, so it’s important to work closely with a farm insurance agent to start with a basic policy and then customize it to meet your needs.

Here are the top six ways to customize your farm and ranch insurance policy.

1. Home and Personal Property

The first big item in your farm insurance policy will cover your home and its contents. It also will insure the grass and property within a certain distance of your farmhouse and provide liability coverage for any house guests.

2. Farm Buildings and Equipment and Machinery

Along with your home, you will have to account for all of the buildings (barns, garages, silos, etc.) on your property. You’ll also list equipment and machinery, such as trucks, tractors, and balers, used on your farm or stored in your buildings. Farm insurance covers farm buildings and their contents separately. Farming equipment is expensive, and insurance can prove useful when you need an unexpected repair or replacement.

3. Livestock Sold or Used on Your Farm

For many farmers, an important part of their business involves livestock raised to be sold, cows and sheep that need to be herded, or horses ridden to round up other livestock. 

You can customize your livestock coverage to the specific needs of your farming operation, including equine insurance that addresses horses’ particular needs.

4. Liability Insurance

Another item on your list for farm and ranch insurance should be liability coverage. Even the most seasoned farmworkers can suffer accidents and injuries around vehicles, machinery, and livestock. Liability coverage can help keep your farm safe from financial setbacks if a worker, customer, or visitor is hurt on your farm or ranch.

5. Umbrella Liability Insurance

One potential customization to your farm and ranch insurance is liability coverage beyond the limits of your auto and home insurance. Typically, umbrella liability coverage options range from $1 million to $5 million, but larger coverage limits are available up to $10 million.

6. Crop Coverage

If you grow spices, herbs, vegetables, or fruits to sell, consider purchasing crop coverage. Basic farm insurance policies don’t cover the produce you grow to sell for income. However, this coverage can be purchased separately.

An Agent Can Help Set Your Priorities for Coverage

These are the top six ways to customize farm and ranch insurance, but you might consider even more, depending on your farm operation. A site visit from your farm and ranch insurance agent can help you decide what type of coverage will meet your needs.

5 Excellent Reasons to Have Farm Insurance

You have spent countless hours and poured thousands of dollars setting up your farm, but you might still question whether you are doing enough to protect it against life’s unexpected surprises. From natural disasters to animal illnesses, farm insurance can help you protect your investment. 

You should consider obtaining a farm insurance policy if any of the following descriptors apply to you:

1. You Want to Protect Your Feed and Livestock

Farm insurance policies can be customized to cover a wide range of livestock, such as:

• Pigs

• Goats

• Emu

• Chickens

• Horses

• Cattle

You can obtain individual coverage on high-value animals (such as show horses), take out a blanket policy on your entire farm, or insure a specific herd. Naturally, the type and level of coverage you select will have a direct impact on premium costs, so you can scale back or ramp up your level of coverage to ensure that the policy fits your needs and your budget. 

2. You Want to Protect Your Investment 

Farm insurance doesn’t just cover your livestock: It can also ensure structures like barns or equipment such as tractors. In other words, you can take out a policy on just about any piece of equipment or asset related to your day-to-day farm work. 

3. You Are a Full-Time Farmer

As is the case with any full-time job, you and your loved ones depend on the revenue you gain from your farm work, but despite your best efforts, plenty of things — natural disasters, inclement weather, or even just a simple run of bad luck — can put that source of income in jeopardy.

Farm insurance can help you make your farm more resilient to the whims of Mother Nature. You can cover equipment damage, livestock losses, and more, and depending on your provider, you may even be able to add supplemental income coverage. 

4. You Are Starting a Hobby Farm

Aside from career farmers, hobby farmers serve to benefit from farm insurance as well. While you may not be fully dependent on your farm for income, you have undoubtedly poured time, money, and sweat into making it a reality.

When disaster strikes, a quality farm insurance policy can help you recoup your losses and start fresh. A comprehensive plan can also protect you from liability in the event a guest or passerby is injured by one of your animals. 

5. You Need Liability Protection in the Event of an Injury

Liability protection is a must, especially if you engage in any agritourism and therefore allow visitors onto your property. Farm insurance with comprehensive liability protection can help you cover the costs of medical bills and legal fees. When choosing a policy for this particular purpose, ensure that the one you select provides an adequate level of coverage based on the size of your farm and how many guests you typically receive. 

Finding the Perfect Policy 

There are plenty of great reasons to obtain a farm insurance policy for your property, and it is great for operations of all sizes and specialties, from calf-cow businesses to hobbyists and everyone in between. 

That said, not all farm insurance policies are created equal, so when searching for a plan for your farm, make sure to explore all add-on options, including liability and livestock protection, to properly obtain the exact coverage you need.