Do you have enough insurance? If you suffered a total loss — if a fire came through and destroyed your sheds, fences, equipment, crops, livestock and your home — would you have enough coverage to start over?
Many of us don’t carry enough insurance. We think ‘it won’t happen to me’. But what if it does happen? Here are our top tips to make sure you’ve got enough insurance coverage.
Often you don’t know how much insurance you really need until it’s too late. The best precaution is to undertake a risk assessment of your property. Consider the replacement cost of items used in the farm business. Contact your insurance company to send in a representative.
When deciding to insure a particular item, ask yourself whether you could run your business without it if it were damaged or lost. If not, could you afford to replace it without the assistance of an insurer?
All too often fencing is insured for a low amount as a total loss seems unlikely, leaving farmers short in the event of a major incident. Don’t underestimate the value of your crops, hay and livestock.
Insure your silos properly, too.
Don’t forget to add new vehicles, machinery and equipment to your policy straightaway. It’s not just big items like a new harvester or tractor, add the smaller items, like a new quad bike, too.
Consider getting an extension to your Farm Legal Liability when either purchasing or leasing additional farming properties.
In the event a major disaster strikes and your farm is unworkable, Loss of Income insurance can help ensure you still have money coming in until you get things up and running again.
Your insurance company is there to help. You can change or update your policies at any time, so build a relationship with them whereby you can give them a quick call (or even send them a text with a photo of your new purchase) to make sure you’re covered.
Your local WFI area manager can help with a risk assessment. Call 1300 934 934 to arrange an on-site visit or find your local area manager at wfi.com.au/find-area-manager.
This information has been provided as a guide only. WFI (ABN 24 000 036 279 AFSL 241461) makes no warranties about the accuracy or completeness of this information. WFI, including its directors, affiliates, officers, employees, agents and contractors, do not accept any liability for any loss, damage or other injury resulting from its use. This information doesn’t take into account your objectives, financial situation and needs. You should consider these matters and the relevant Product Disclosure Statement (PDS) before you act on any advice. You can get a copy of our PDSs from our website at www.wfi.com.au or by calling 1300 934 934. If you purchase any WFI product we will charge you a premium, plus any taxes and charges, based on your risk profile and circumstances.