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Tractors are not the only vehicles used in agricultural tasks that need insurance. A good part of the agricultural machinery used in agricultural and livestock farms must be insured. We talk about agricultural vehicles that, in addition to developing tasks in the field, have the obligation to have Insurance to be able to circulate with them. In this post, we tell you how are the most common Agricultural Machinery Insurance.
The first thing you should keep in mind when looking for Agricultural Machinery Insurance is that it is not a usual policy. Agricultural vehicles are insured with very specific insurance products in which, in addition to the Circulation Insurance required by Law, they can be complemented with various custom coverage.
These are very specialized policies for this type of machinery and it is convenient to go hand in hand with an insurance broker that analyzes the characteristics of the agricultural machinery to probe among the various specialized insurers and compare prices and guarantees.
Tractor and Other Farm Vehicles Insurance
In the agricultural and livestock sector, the tractor is the fundamental tool of many farms and farms.
They are vehicles in which the risks have been standardized and tractor insurers try to ensure that the policy covers those incidents that may arise either on the road or in the field.
In addition, Tractor Insurance considers as a risk that the tractor is not only a vehicle but also a vehicle that drives and manages some types of machines attached to it.
Agricultural Vehicle Insurance
But when we talk about Insurance for Agricultural Vehicles, leaving tractor insurance aside, insurance companies offer much less defined policies than when it comes to securing a tractor and its trailer.
In fact, most of the times each agricultural vehicle is analyzed individually, studying its risks machine by machine. It is clear that combine insurance is not the same as a thresher policy or motor cultivator insurance.
The agricultural machinery is analyzed for its assurance taking into account factors such as the use and the works that are carried out with them, if they are self-propelled machines that can go on public roads or if they need a tractor to drag them to perform their work, such as Seeder or baler.
These factors may even determine that agricultural machinery does not require Mandatory Insurance, as with agricultural implements and instruments without a motor.
However, agricultural machinery that does not require Mandatory Circulation Insurance can be insured with other types of coverage.
Tractor Insurance Cost
To insure tractor and anything that attaches to it at $30,000 replacement value. It costs about $120 per year. Definitely not included in regular home policy, it had to schedule all of it as extra.
Farm Equipment and Tractor Insurance
As we have already pointed out, Agricultural Machinery Insurance is very different from each other. There is a great diversity and the policies are usually configured to suit each type of machinery or implement in the field.
They are Insurance that take into account various factors, among which are:
- Type of agricultural machinery
- Vehicle scope
- Use for which it is intended
- Type of load
- Civil Liability derived from the work performed with it
What Tractor Insurance Covers?
Focusing on the coverage of these types of policies, we can break down some of the main guarantees of these Insurance:
Mandatory Civil Liability
Compulsory Circulation Insurance or Obligatory Civil Liability is the main coverage of self-propelled machines that must be registered and used for field work.
It is the most frequent coverage in Agricultural Machinery Insurance and is essential for driving with motor vehicles that are used in agricultural tasks.
Civil Liability Insurance
By insuring agricultural vehicles, we can incorporate into the policy a Civil Liability Insurance that protects the farmer from third-party claims for agricultural work performed by the machinery.
This coverage guarantees the payment of compensation for which the insured may be liable for damages and losses caused to third parties, for the ownership of the insured machinery or for its use during the machine’s own work.
This warranty covers damage caused by fire, lightning, explosion and implosion in the agricultural vehicle, while the machine is at rest or while it is in operation.
The Theft Insurance agricultural machinery provides coverage for the theft of the insured machinery and material damage thieves caused to it as a result of an attempted robbery.
As with Tractor Insurance, this coverage also covers the expenses of the legal defense of the insured, and includes the provision of legal advice services, derived from the ownership of the insured machine.
Towing expenses of agricultural machinery
The Insurance that has this guarantee covers the costs of towing the machinery to the workshop, as well as the expenses of the extraction or rescue of the agricultural machinery in case the accident is the result of a mechanical breakdown or a traffic accident.
Coverage that guarantees the replacement of the windows of the cabin of an agricultural vehicle.
Other coverage that we can find in Agricultural Machinery Insurance as extra or complementary guarantees:
- Acts of vandalism against machinery
- Atmospheric phenomena (wind, rain, hail or hail and snow).
- Tipping Coverage
- Damage resulting from the transport of the machine.
If you are a farmer and you are going to renovate your farm machinery, you probably need to insure it. From our Insurance brokerage we advise you in the hiring of the policy for any type of agricultural vehicle, with custom coverage and very cheap prices.