What You Need to Know About Hobby Farm Insurance

Whether you use your hobby farm as a main source of income or it is simply something you enjoy doing, it needs to be protected from various kinds of disasters. Storms, vandalism, and other unforeseen risks could destroy your land and cost you in more ways than one. Thankfully, there is hobby farm insurance for just such a purpose.

Read on to learn more about how you can protect your hobby farm:

Why ESOP Matters: As an Employee and as a CustomerWhat is a Hobby Farm?

A hobby farm can be a farm of any size or type. It generally, though, doesn’t provide income as its primary purpose, although it could bring in some income. It is typically less than 50 acres and can include all sorts of farms. For example, hobby farms can include farms that grow crops, livestock, etc. They generally operate on a much smaller scale than commercial farms and often are in just one location.

In years past, the United States was populated by many independently-owned farming operations. That number dwindled with the emergence of corporate farming enterprises. However, today, the trend for growing one's own food, or supplementing income by working on one’s land has seen a resurgence. This is due to many factors, but for most hobby farmers, it’s just about using their land to either make a small profit or to follow their passion for a self-sustained lifestyle.

What Does Hobby Farm Insurance Cover?

Hobby Farm Insurance coverage can be customized to fit your hobby farm needs. However, the most common types of coverage associated with hobby farm insurance are as follows:

  • Crops
  • Livestock
  • Farmhouses
  • Barns and other structures
  • Equipment and machinery

Additional Coverages Worth Considering For Your Hobby Farm

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Everyone’s farm is slightly different from others. Therefore, there are some additional coverages your farm might benefit from that wouldn’t typically fall under the traditional coverage options. For example, you can add the following additional coverages if you feel your farm is at a heightened risk for these situations, or perhaps you have invested a great deal of money into these areas:

  • Fire
  • Fencing
  • Bee coverage
  • Windmill coverage
  • Silo coverage
  • Poultry and eggs

Why You Might Consider Hobby Farm Insurance

There are several reasons it could be to your advantage to consider acquiring a hobby farm insurance policy to protect your farm. The following are some of the most applicable:

  • Homeowners Insurance Doesn’t Cover it All: In many cases, homeowners insurance policies will exclude farming or business activities. This means that your hobby farm could be without any coverage. Consider what you would do if a storm damages your farm equipment or a beehive is stolen. While you might not depend on your hobby farm to fund your entire existence, you don’t want to have to replace these on your own time or have to take the loss.

  • You Likely Need the Additional Liability Protection: In a perfect world, nothing would ever go wrong and the need for policies like hobby farm insurance would simply be a nonissue. Unfortunately, things can and do go wrong, and if you don’t have additional liability coverage or specific hobby farm insurance coverage, you could be facing the financial repercussions of any variety of incidents that could happen on your farm. Consider what you would do if someone gets sick from eating your produce? What then? How about if a farm guest is bitten by a goat? Do you have the coverage needed to pay for medical care? Is that even covered in your current policy?

  • It Can Protect Against Loss of Income: Although you might not be providing the entirety of your income by working your hobby farm, if you use it to produce any income at all, losing pieces of your farm could prove financially devastating. Just consider what you would do if a storm damages one of your buildings or your tractors. How would you be able to work your farm and still produce some form of income from your efforts? If you couldn’t and this would be a financial burden, then it's a good idea to inquire about the loss of income coverage via a hobby farm insurance policy. Not all policies contain such provisions, but your insurer will be able to tell you if you have this type of coverage or not and work to get you protected against the loss of income.

  • You Likely Need Different Coverage From Others: As mentioned above, no two farms are exactly the same and this is most certainly true as it relates to hobby farms. Factors like if you rent or own your farmland, or if you live on the farm itself could change the type of coverage that would best fit your needs. Whether you use your hobby farm to host yoga retreats or to grow plants of which you sell some or enjoy some other activity altogether, your coverage needs will vary, and deserve your own hobby farm insurance policy to adequately protect your hobby.

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Business Policies Commonly Added to Hobby Farm Insurance

The following are some additional business policies that can be added to your hobby farm insurance policy:

  • Auto Insurance: This can include coverage for vehicles you use for farm purposes or your own vehicles.

  • Commercial Umbrella Coverage: This is additional coverage that can protect you against an expense that goes over your preset policy limits. It can help you withstand such a loss and provide a way for you to build back or replace what is lost.

  • Liability Coverage: Again, liability is such an important factor that cannot be overlooked or underestimated, even with regard to a hobby farm. If you have people on your property at all or sell anything to the public, there is a risk that you will face a lawsuit due to injury or sickness. This is true no matter how careful you are as accidents do happen on a farm.

Protect Your Hobby

Just as you protect your family, car, house, and everything else that is important in your life, it's wise to protect your hobby as well in the form of hobby farm insurance. Contact us at Winter-Dent to learn more about this coverage.

We are industry leaders in the field and are happy to help you determine your coverage needs. Remember, regardless of the size of your hobby farm or how much income you are producing with your efforts, it’s important to make sure your farm is covered should you suffer a loss that impacts your ability to continue operating your farm. Of course, you also want to protect yourself against the potential of a lawsuit should a situation arise due to your hobby farm. Therefore, it’s important for a variety of reasons to have this added coverage.Information is power: Subscribe to our blog

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