Farm insurance has evolved

July 24, 2019. Farmers in Alberta face many risks that are outside of their control and can cause losses to their business and property. More farmers are buying more insurance despite the trend towards fewer but larger farms. According to the CBC, 57% of farmers bought insurance in 2016, up from about 50% in previous years. Among other perils, hail is common in Alberta and severe weather has been on the rise. It is important to protect your investment by making sure you have all the necessary insurance.

What does farm insurance cover?

There are many options available and farm insurance covers losses from:

• Wind
• Hail
• Fire
• Tornado
• Windstorm
• Smoke
• Water escape and rupture
• Ice backup
• Vandalism
• Theft & riot
• Swimming pools
• Building collapse
• Falling objects
• Liability issues
• Transportation
• Glass breakage
• Vehicle or aircraft impact
• Escape of fuel oil

You can insure:

Dwellings

Your home and other dwellings on the property will have the same coverage as homeowners’ insurance will provide.

Machinery, tools, equipment, and parts

Your machinery and equipment can be insured with blanket coverage or individually, even when not in use.

Outbuildings

Outbuildings can easily be damaged by fire or theft and can be covered at replacement cost or with all risk coverage.

Fertilizer, Chemicals, and Feed

These are insured for losses including theft and are also covered during transportation in your vehicle.

Crops

Crops can be covered for losses due to hail, snow, frost, drought, excess moisture, wind, wildlife, insects, plant disease, and fire caused by lightning.

Livestock

Livestock including cattle, horses, pigs, poultry, and sheep are covered with accident and mortality coverage, including during transport.

Business activities

Business activities other than farming can also be covered. This can include farmer’s market liability, building construction liability, agritourism activities, and animal shows.

General liability

Liability coverage protects you in the circumstance of legal action taken against you due to personal or business activities.

Pollution liability

Pollution liability insurance helps cover the cost of repairing damage caused by pollution from your farm.

Vehicles

Vehicles used for personal and business purposes are covered the same way they would be under your personal car insurance.

Customized insurance

Coverage can be customized to meet your unique needs and add-ons are available, including:

• Sewer backup
• Farm accident
• Business interruption
• Employer’s liability
• Power interruption
• Loss of use of farm machinery
• Fire department charges

There is also coverage available specifically for different types of farms, such as:

• Poultry farm insurance
• Hog farm insurance
• Dairy farm insurance
• Grain insurance
• Feedlot insurance

Make sure you have the right insurance for your farm

Because of the unpredictable nature of farming, it is important to make sure you have the coverage that best suits your needs. Many people do not understand the specifics of what their insurance covers, which can lead to an unpleasant surprise if their claim is denied. There is a wide range of options available, so talk to your insurance provider to make sure you have the coverage that is best for your farm.