Is Your Family Farm Protected? 4 Reasons You Need Farm Insurance

Posted on: 1 August 2016

If you own your home, you know that you need homeowner's insurance.  However, if your home is part of a family farm, you might need farm insurance. Unfortunately, it can be difficult to determine whether you need farm coverage, especially if you don't think your property is big enough to be considered a farm. Before you bypass the farm coverage, here's some information that will help you decide if your property qualifies as a farm.

You Have Additional Structures

If the structures on your property include your home and your garage, you probably don't qualify as a farm. However, if you have several different structures on your property, including barns, storage sheds, and corrals, you might want to consider adding farm insurance to your coverage. Your current homeowner's policy might not protect the additional structures. This is particularly true if you use the other structures as part of a family business.

Your Animals Include More That Just Cats and Dogs

If you only own your basic pets, such as cats and dogs, more than likely, you don't operate a farm. If, however, you also have cows, chickens, horses or other farm animals on your property, you should talk to your insurance carrier about including farm protection. It's also important to note that farm insurance will provide you with the coverage you need if you rent stable space to horse owners in your area.

You Employ Workers

If your acreage is so vast that you need to employ workers to help care for the land, you probably need farm coverage. According to statistics, small family farms usually encompass about 230 acres of land. If your family farm covers that much acreage, you should protect your investment by including farm coverage in your insurance bundle.

You Make a Living Off of What You Produce

If you make a living off of what you produce on your farm, and you don't have farm insurance, you might not have all the protection you need. Suffering a disaster that you're not protected against could leave you in financial ruins. Before you say no to farm insurance, you need to decide if you could continue on financially if your property were destroyed.

If you own property that includes farm equipment or animals, your homeowner's coverage might not be providing you with the insurance protection you need. Talk to your insurance agent about updating your coverage to include farm insurance. 

For more information, contact Western Reserve Group or a similar company.