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Jan 13, 2021 | 18:35 1 Just wondering what type of farm liability farms are keeping nowadays?
I had my vehicle policy at 3 million liability but the rates per unit seem to be getting high. I was thinking of lowering it down to 2 million. My agent suggests to not go below that for sure.
I have my other policy for farm insurance at 5 million and wonder if that is enough these days. It is not tied to each farm building or equipment so the rate is not so bad.
Most new combines and tractors are 3/4 of a million or more and a fire or something could take out a complete farmyard which could easily get up into the millions I think. Reply With Quote
Jan 13, 2021 | 19:24 2 Its easy to guage your replacement costs of things go up in smoke one day. There was quite a few combine fires this past harvest.

The bigger concern is probably personal liability from injury or lawsuits etc. Reply With Quote
GDR
Jan 13, 2021 | 19:33 3
Quote Originally Posted by Farmfleury View Post
Just wondering what type of farm liability farms are keeping nowadays?
I had my vehicle policy at 3 million liability but the rates per unit seem to be getting high. I was thinking of lowering it down to 2 million. My agent suggests to not go below that for sure.
I have my other policy for farm insurance at 5 million and wonder if that is enough these days. It is not tied to each farm building or equipment so the rate is not so bad.
Most new combines and tractors are 3/4 of a million or more and a fire or something could take out a complete farmyard which could easily get up into the millions I think.
Insurance is provincially regulated so depending where you farm the answers may be different.

You can buy an umbrella liability policy that sort of works as a "top up" for where its needed. ie: you buy 1 million auto / 1 million farm and personal and then a 4 mill umbrella that gives you a total of 5 mill coverage. Should be cheaper than bumping limits on each. Reply With Quote
SASKFARMER's Avatar Jan 14, 2021 | 08:05 4 We have a few that love eddy match and I always wonder if they started a fire and it burnt our yard could they cover the loss or just hand quarters over to me for damages. Reply With Quote
Jan 14, 2021 | 08:24 5 If you hit a train you better have lots of insurance. Reply With Quote

  • SASKFARMER's Avatar Jan 14, 2021 | 08:46 6 I would say most farms don't carry enough. Reply With Quote
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  • Jan 14, 2021 | 08:48 7 Does anyone keep a shell company for risky assets ex. heavy/light road trucks & trailers? Anything that spends time on the road should be detached from the main corporation to avoid major liability. Reply With Quote
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  • SASKFARMER's Avatar Jan 14, 2021 | 09:14 8 Good point. Reply With Quote
    Jan 14, 2021 | 09:24 9
    Quote Originally Posted by workboots View Post
    Does anyone keep a shell company for risky assets ex. heavy/light road trucks & trailers? Anything that spends time on the road should be detached from the main corporation to avoid major liability.
    That would be every piece of equip we own ?
    Have even had leaf cutter shelters fly across the road in the tornado
    Been more farm equipment run into around here than should be Reply With Quote
    Jan 14, 2021 | 13:49 10 Not really sure about the umbrella thing. I am with two different companies for each of the policies. I don't think a shell company would work because I think they can come after who ever owns a company.
    Nobody is saying what their liability is at. Am I way lower or higher than most, just wanted to get a feel for what others are doing? I am assuming most are only at 1 mill for vehicle and 2 mill for farm but who knows. Reply With Quote
    Partners's Avatar Jan 14, 2021 | 13:55 11 1 million buys very little anymore. Reply With Quote
    Jan 14, 2021 | 14:05 12 The degree of hurt placed upon you will depend on how skilled a lawyer you come up against. Reply With Quote
    GDR
    Jan 14, 2021 | 15:35 13
    Quote Originally Posted by Farmfleury View Post
    Not really sure about the umbrella thing. I am with two different companies for each of the policies. I don't think a shell company would work because I think they can come after who ever owns a company.
    Nobody is saying what their liability is at. Am I way lower or higher than most, just wanted to get a feel for what others are doing? I am assuming most are only at 1 mill for vehicle and 2 mill for farm but who knows.
    I'm 2 mill on everything, perhaps on the low side in AB.

    Put all your insurance with one company, no question. Umbrella just a cheaper option plus expands coverage in some cases.

    Doubt really that a corp is gonna shield much if a serious event were to happen, executives/principles will also be named. Reply With Quote
    Jan 14, 2021 | 16:45 14 I feel that 5 M across the board would be minimal, should some one be paralyzed in a fall or an accident on your property. When a young person was paralyzed in late 80’s, word about was 3 million settlement.

    That is one reason we disallow hunting on any of our property. If we allow gunfire from our property that can fly 3 km. we are opening ourselves up for big problems. What is the life of a father of five worth? If you need a good lawyer, call every lawyer you can. Google best lawyer for your particular need. Ask them in detail how they would defend you. Only after you have the plan and the cost pinned down, pick the best one, maybe two. The best lawyers don’t cost anymore than the duds. DYODD and don’t be shy. And pick Tort Coverage at SGI so if you are a victim, you can sue. “Without Prejudice”. Reply With Quote
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  • Jan 14, 2021 | 16:56 15 My agent told me the other day that there is such a thing as a good credit score discount. Seems they noticed that people with money issues have more things burn or disappear . Who no's maybe get better coverage and a discount at the same time. Reply With Quote