Protect Your Family Legacy with Farm Insurance

Farm Insurance Blog Article Photo

Your farm is not just your livelihood — it is a family tradition passed down through generations. Are you taking the proper steps to preserve your farm family legacy? In this blog, Alan Martell, Ag Risk Manager at First Mid Insurance Group, breaks down what Farm Insurance is and how it can help protect operations of all shapes and sizes.

What is Farm Insurance?
Farm Insurance is the process of assessing a farmer’s risk and working together with the farmer and various insurance companies to develop a plan that provides peace of mind at a great value for their ag business.

How are Farm Asset coverage and Farm Liability coverage different?
Farm Assets Coverage covers property such as buildings, equipment, livestock, crops, inventories, vehicle damage or loss, and more. Farm Liability Coverage is different as it covers any injury or damages the farmer could be liable for. In other words, Farm Liability Coverage protects against people getting hurt on a farmer’s property or for covering the farmer if they cause property damage or bodily injury to the person making a claim.

Why is Farm Insurance important?
Farm Insurance is often about protecting a legacy. It helps reduce risk to a manageable level of comfort so farmers can sleep easier knowing they are protecting themselves from losing everything they and the generations before them have worked so hard for.

What are some unique exposures farmers have?
Some primary areas of concern for farmers may include many of the following:

  • Crop inventory and livestock inventory coverage including suffocation
  • Grain bin collapse and explosion coverage
  • Pollution liability
  • Crop damage to a neighbor due to application of chemicals or fertilizer
  • Replacement cost for their property without penalties or decrease for depreciation
  • Rock damage to equipment during harvesting
  • Food contamination liability
  • Rodent damage to equipment
  • Business income loss due to weather or due to property damage
  • Cyberattack losses, due to information loss or loss of access to information, or system shutdowns
  • Cyber Liability due to someone visiting your website and being damaged as a result
  • Federal regulation exposures
  • Electronic funds transfer and computer fraud
  • Estate loss due to estate taxes
  • And many more

What sets First Mid apart as an insurer of choice for farmers?
What sets First Mid apart is our experience and focus on the agricultural industry. First Mid offers a variety of Ag Services across all of our business lines to meet the needs of the agriculture community. We know agriculture and the risks associated with it better than most because our team is made up of many individuals from family farms and they possess a true passion for agriculture. We are fortunate to have the best in class abilities at First Mid. This helps us provide the best to farmers, helping them achieve their desired success. Most importantly, we have a caring culture and experienced team members who want the best for the farm families we serve.

Every farm operation is different. How does First Mid adjust plans to work for all?
We have access to multiple insurance carriers that specialize in all areas of agriculture, so we can work with the farmer to find the right company to exceed expectations. Sometimes we even work with more than one carrier for the same customer, because it is difficult for one insurance company to do all things for all types of farmers and their businesses at the optimal value. It is important to have and consider multiple options.

What are some factors agents may consider in determining premiums or amount of coverage needed?
Determining factors may include:

  • Age and condition of the property
  • Past loss history
  • Total insured value
  • Risk management policies
  • Farm type and location

What are some of the most common concerns you hear from farmers that could be addressed or remedied with a Farm Insurance policy?
You don’t know how good your insurance is until you have a claim. The best way to improve that sentiment is to have a professional review done by our experienced team. We can discuss your risk exposures, talk about those areas of concern and address them properly. Our main goal is to help others and earn the privilege of being a trusted advisor.

You never know if there is a better way to protect yourself unless you consider it. Our only objective is to help you find the best options for you, even if the best option is elsewhere. We can happily offer a free, no-obligation second opinion on your current insurance coverages.  We look forward to getting to know you and being there for you when you need us.

Who should I contact for questions about Farm Insurance?
Contact Alan Martell, who has 30 years of Ag experience, at (309) 378-4200 or email amartell@firstmid.com. We will connect you with the best person on our experienced Farm Insurance team to help you.

First Mid Insurance Group, Inc. is a wholly-owned subsidiary of First Mid Bancshares, Inc. and an affiliate of First Mid Bank & Trust, N.A. Insurance services are not deposits or obligations of the bank, are not insured by the FDIC or any governmental agency, and are not guaranteed.