Just like any other business owners and homeowners, farmers must adequately insure their homes and their farming operations. Whether you runa small farm that provides produce for the local area or operate a large farm that ships produce across the country, you should adequately insure and protect your investment.
Instructions
1. Find an insurance company that specializes in insuring farms. You can visit either the Department of Agriculture website for your state or your state's Department of Insurance website. Both can provide information on insurance companies offering farm coverage.
2. Speak to a farm insurance agent and discuss the available types of insurance for your farm. Coverage may vary depending if you have livestock or crops. Crop insurance insures the physical damage or loss of a farmer's crops from perils such as flood, drought, hail and fire. Farm insurance covers the farm buildings and equipment. It also can cover livestock against physical loss and cover a farmer's legal liability for operating the farm, including any injuries your employees or visitors suffer while on your property. Some farmers may need both coverages. Your agent can help you determine which insurance to buy.
3. Provide the required demographic and underwriting information. Underwriting information will include total annual sales, number of buildings, house value, barn value, farm equipment value and animal value.
4. Compile and submit the underwriting information to more than one farm insurance provider. Whenever you search for insurance quotes, always approach at least 3 insurers. The Internet has made it much easier to obtain quotes.
5. Compare quotes. When comparing quotes look at more than the policy cost. Analyze the policy limits, terms, conditions and exclusions. The most important aspect of insurance is adequate coverage.
