Small Farm Insurance?

[Blakers]

We're in the process of buying a small 24 acre farm and need to buy some homeowners insurance. Some have said I should get some kind of small farm insurance instead. This will mainly be our home, but I want to raise some sheep and beef and perhaps other livestock in the future. And later on I may get back into making maple syrup again as there is about 10 acres of various sized maple trees.



I would like to have a policy that covers what homeowners would, but would also like to have farm equipment covered for theft or vadalism and while operating on the road or at an antique engine show.



The farm is in NW Pennsylvania.



I need some suggestions.



Thanks,

Blake

 

[DDT]

If you talk to your ins agent he well know. in my area if the is a house and of out buildings then its not a problem. I just bought 9 1/2 acres with house a barn, house was burn Fri eve and barn will be torn down. I got liabillty ins for just the ground. wasn't much.

 

[deaton]

Shop around and compare your local agents. I found that for my policies, including my farm equipment, Farm Bureau has saved me alot of money on premiums. They now have all of my business and home plicies.

Dave

 

[ndurbin]

I had Farm Bureau for acouple years on my small cow herd. It was pretty resaonable and covered alot. I dropped it when I sold the cows while the market was good but home and car insuarnce is still thru Farm Bureau. Oh and it doesn't hurt that the agent I go through is a close family friend.



Nathan

 

[Lnwing]

Blake,



I've had Old Guard Insurance for many years for my farming operation, and have always felt that I've been treated fairly. No good coverage is cheap anymore, so an experienced, knowledgeable agent who's associated with a good company ranks at the top of my list.



When our house burned, nine years ago, we really got to see just what kind of coverage we had! Our agent and the adjuster both worked with us through the whole process to do everything they possibly could. I hope you never have to evaluate your coverage that way!!



Lynn

 

[TGreschuk]

Hey Guys,

Good advice above. As an insurance Agent, I have seen the bad side that occurs when people pick and choose their coverage themselves. If you buy from a licensed Agent and provide them with all the pertinent details you have doubly protected yourself as the Agent will carry Error and Omission Insurance. This means that because you have entrusted your needs to an Agent, the Agent now has a responsibility to cover you correctly. In the event of a claim descrepancy (ie: you thought you had sewer back-up coverage and the adjuster is telling you that the 3 feet of raw sewage in your basement is excluded from your policy) you will be able to point the finger back at the Agent as they should have known that you needed this coverage with a finished basement and you could then claim against the Agent's Error and Omission Policy and have your claim paid. Dealing with a professional gives you an extra layer of protection in situations where the company refuses to pay a claim.



Trent

 

[QRTRHRS]

I am very happy with United Farm Family Insurance. I have my home through them and all the barns and farm equipment including my Ram but not my wife's SUV. We have our horse operation set up as an LLC also insured through them. The Ram is only 267/year full coverage.



Check with your county on getting your property covered under "clean and green". The tax savings are generous with minimal payback should you decide for some reason to change it.

 

[Blakers]

Thanks guys. I will do some calling around Monday. I currently am a Farm Bureau member and have Nationwide for car and truck and renter's insurance. I see they have a policy called Country Elite for small and part time farmers. Not sure of the details.



QRTRHRS, I am considering the Clean and Green program. Are there negatives? It looks like you have to pay back the savings for the last 7 years if you decide to change the land's use. How much does it save in taxes?



My parents in Ohio are in CAUV (Current Agricultural Use Value) and it greatly decreases their taxes. They could almost not afford to farm in yuppieland without it.



Again thanks,



Blake

 

[QRTRHRS]

QRTRHRS, I am considering the Clean and Green program. Are there negatives? It looks like you have to pay back the savings for the last 7 years if you decide to change the land's use. How much does it save in taxes? Blake

Follow this link to read the act. http://www.lgc.state.pa.us/deskbook03/Issues31.pdf The penalty is the savings plus 6 percent interest. If I understand it correctly, the savings can vary by county. My first year savings were substantial at around 700 bucks and in the six years we are here, taxes only went up maybe a 100 bucks or so. Property values however have risen dramatically. So, for me it was worth it. Check with both your county government and the Farm Bureau people. They should be able to give you some input.

 

[Blakers]

Wow - what a difference in quotes for farm insurance! I got a quote from a local independent agent for a small farm policy that protects me on the road or at a steam show with a tractor, plus the usualy stuff for $530/yr. This ones from a company called Everette Cash Mutual.



Nationwide wanted $1330/yr and it would not protect on the road or at a show.



Guess it pays to call around.