Farm Insurance Options and Pitfalls The types of insurance a farmer can take out these days seem almost endless. This article discusses many of the insurance options available with a particular focus on public liability insurance. Numerous real-life case studies involving Queensland cane growers are provided. COMPULSORY INSURANCE Some types of insurance are compulsory for many farmers. Examples include Workers Compensation Insurance if you have employees, and Compulsory Third Party (CTP) insurance as part of vehicle registration fees. MANAGING RISK Apart from the compulsory insurance, insurance is all about managing risk. In general, the prudent response is to take out as much cover as you can afford. Examples include: •
Personal insurances: such as life insurance, trauma insurance, income protection and disability insurance.
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Business insurances: such as fire, building and contents, theft, tax audit, business interruption, management liability, natural disaster, crop insurance and third party liability insurance. Your CANEGROWERS membership means that you have access to crop insurance cover, which can provide cover for loss of crop due to accidental fire, transit and hail incidents.
CHOOSING THE RIGHT INSURER By Chris Cooper, CANEGROWERS Legal Advisor
Many farm insurance products come in packages that provide cover for a range of events. Not all insurers are equal though and not all farm insurance packages are equal. You should turn your mind to what you need covered when taking out or renewing insurance cover. 44
