Farming is a major part of human existence. It is because of farming that we have food on our plates. However, not every farmer is farming as their primary occupation. Many of us engage in farming as a side business or a hobby.
For those with just enough acreage, hobby farming can make for a great lifestyle and provide you and your family with a great deal of enjoyment. But just because you’re doing it as a hobby doesn’t mean that it doesn’t come with some risks. It can be easy to assume that a hobby farm is just that – a hobby.
However, it often requires the use of equipment and animals, which creates an environment of unpredictability. This makes insurance a must.
The exact type of coverage will vary based on the kind of farming activity you engage in. For instance, some hobby farmers may be covered under a homeowner’s insurance policy. But, if the farm is big enough and your activities are a little more complex, you might need a very different insurance solution.
The Difference Between Hobby Farm Insurance and Standard Farm Insurance
Hobby farm insurance varies from standard farm insurance in that hobby farms are often small-scale establishments run for pleasure rather than profit. So, you need an insurance solution that focuses on this aspect and is right-sized for non-commercial operations.
There are a wide range of insurance solutions that suit a specific size of farmland or the kind of work done on the farm. Let’s take a look at some.
For starters, you have “Buildings and Contents” cover, where the tenanted dwellings or owner-occupied dwellings are covered against theft, fire, and water damage.
Then, there’s options for “Other Farm Buildings,” where structures such as grain silos, sheds, and workshops are typically included.
You can also have “Farm Liability Insurance,” designed to cover you against liabilities related to third party damage or personal injury caused by your hobby farm activities.
Similarly, you have “Farm Machinery and Motor Vehicles” insurance, where the machinery and vehicles used on your hobby farm are covered.
Finally, you have “Farm Fencing Insurance” and “Business Interruption Insurance.” Your farm fencing can be covered against damages caused as the result of extreme weather or natural disaster. Business interruption can insure you for additional cost such as agistment where you suffer a loss caused as a result of property damage.
These can be tailored and packaged to suit the unique needs of your hobby farm.
Hobby farm insurance is important to make sure you have the peace of mind to continue to enjoy your hobby. We can help you talk through your situation and recommend a right-sized insurance solution to help manage your hobby farm risk. Why not give us a call or stop in the branch today on (08) 9301 0562