Farm operations vary and can be seasonal. In addition to the basic farm policy, other types of insurance may be necessary or considered.
- Workers' Compensation Insurance
If you have employees other than family members, you will need workers' compensation insurance. In most states this will be mandated. In some states you may cover family members and owners as well as employees and this can be good supplemental coverage in case of an accident.
- Agri-Tourism Insurance/U-Pick Insurance
Many farms now offer tours, petting zoos, or seasonal events like a corn maze or allow the public to "pick your own" fruit or vegetables. The owner must discuss these activities in detail with the insurance professional. Arguably, none of these activities are covered under a standard farm policy and may require a separate business policy. An excellent discussion of these insurance needs was recently posted by the Kansas Department of Commerce. - Crop Insurance
Crop insurance protects the farmer from a loss of a seasonal crop from a disaster. It is probably the most underutilized protection for farmers. Programs can be found at the United States Department of Agriculture's Risk Management Agency website. - Livestock Insurance
Livestock insurance is similar to crop insurance and is also partially funded by the United States Department of Agriculture and is an underutilized source of risk management.
The owner of the farm and significant employees and shareholders may also wish to consider life and disability insurance and the use of a buy-sell agreement to promote the continuity of the business.
Health insurance will help maintain quality employees and provide family health coverage.