A Guide to Farmland Insurance in Ohio, Indiana & Michigan

For small and mid-sized farm businesses in Ohio, Indiana, and Michigan, your land is more than just dirt. It’s your livelihood, your heritage, and the foundation of your success. Making sure you have the right farm insurance policy is crucial to keep your operation safe. This blog dives into the world of farmland insurance. We’ll explore what it covers, why it’s important, and what it may cost.

Why Farmland Insurance is Different           

Standard property insurance might protect your farmhouse, but it likely won’t address the specific risks associated with farm ground. Farmland insurance goes beyond the basics, offering coverage tailored to the agricultural world. Here are some key areas it covers:

• Liability: If someone gets injured on your property or your livestock causes damage to others, farm liability insurance can help cover medical expenses and legal costs.
• Pollution Liability: Accidental spills or leaks can have a devastating impact on the environment and your wallet. Farmland insurance can provide coverage for cleanup costs and potential fines.
• Medical Payments: Minor injuries may occur on your land which may include claims against slip and falls. Medical payments coverage can be provided to pay for small medical occurrences in limits of $5,000-$25,000 based on the limits of policy. These are incidents where litigation is not presented to take care of the medical payments.

Other Items that could be present on farmland

• Farm Structures: Barns, silos, sheds, and other outbuildings used for storage, equipment, or livestock housing are covered against damage from fire, lightning, windstorms, hail, and other perils. Farmland parcels may contain old structures in fair or failing condition. These structures can present insurance challenges if they’re in rough shape. We can typically find a liability policy and exclude the structures if they’re not insurance worthy.
• Equipment: Tractors, combines, planters, and other essential tools of the trade are protected against theft, vandalism, and damage from accidents or weather events.
• Customizing Your Coverage: The beauty of farmland insurance is its flexibility. You can tailor your policy to fit the specific needs of your farm. Here are some factors that will influence your coverage options and costs:
  • Size and Location of Your Farm: The number of acres, type of terrain, and proximity to potential hazards all play a role.
  • Types of Crops or Livestock: Raising soybeans has different risks than raising dairy cows, so your policy will reflect that.
  • Value of Your Property and Equipment: The higher the value, the higher the coverage amount you will need.
  • Deductible: Choosing a higher deductible can lower your premium, but you’ll be responsible for a larger share of out-of-pocket costs in the event of a claim.

The Cost of Peace of Mind

There’s no one-size-fits-all answer when it comes to the cost of farmland insurance. However, here are some general factors to consider:

• Coverage Options: The more comprehensive your coverage, the higher the premium.
• Risk Factors: Factors mentioned above, like location and the type of farming you do, can affect the cost.
• Claims History: A history of claims can lead to higher premiums

Farmland liability insurance can be found for as little as $100 per year for $1,000,000 of liability coverage. This cost example would be for a farm less than 80 acres. The cost of coverage goes up as exposures are added.

Getting a Quote for Farmland Insurance

The best way to determine the exact cost of farmland insurance for your specific needs is to contact a reputable insurance agent like us at Hitchings Insurance. We can assess your farm’s unique risks and develop a personalized quote that provides the right protection at an affordable price.

Remember, farmland insurance is an investment in your farm’s future. It offers peace of mind, knowing that you are protected from unexpected events that could threaten your livelihood.

Here at Hitchings Insurance, we understand the challenges and rewards of running a farm. Our experienced agents specialize in crafting comprehensive farm insurance packages that meet the needs of small and mid-sized farms throughout Ohio, Indiana, and Michigan. Contact us today for a free consultation and quote. Let’s help you ensure your harvest is protected for years to come!