For many farms across the UK, agricultural vehicles are essential to the day to day running of the business. Whether you’re an arable farmer ploughing fields to a livestock farmer feeding your cattle, we know agri-vehicles are an important asset to you. That’s why it’s necessary to protect your vehicles with the right farm motor insurance.
So, together with one of our specialist agricultural insurers Rural Insurance, we’ve put together a list of our top 6 things for you to consider when buying farm motor insurance.
1. Know the basics
Make sure you know the basic information for each of your agri-vehicles to hand as your insurer will want to know the registration or chassis number, exact make, model and current value of each vehicle. Some insurers will offer cover for multiple types of vehicles so be prepared by knowing what you want to insure. This can save you time and money, and reduce the need to make changes in the future, avoiding unnecessary fees.
2. What will you be using the agricultural vehicle for?
With more and more farmers looking to grow and diversify their business to gain an additional source of income, its important you let your insurer know what you’re using the vehicles for. As an example, many farmers are using their farm motors to provide agricultural contracting services. If you use your vehicle for anything other than normal farming use it may affect the terms applied by the insurer and may impact your premium.
3. Who will be driving your agri-vehicles?
There are two common levels of cover offered by insurers when it comes covering people to drive a vehicle. In many cases insurers will offer an “open driving” policy which may have an age restriction against it. For example, any driver excluding drivers under 25. This gives you flexibility, allowing anyone who meets this criteria to drive your vehicle. By having an open driving policy, you won’t need to contact your insurer if you employ someone new as long as they have no adverse experience such as convictions or claims. Alternatively, some insurers offer restricted driving where you will be required to specify driver details. Whether you opt for open or restricted driving both have their benefits and will suit different farming operations.
4. Where are your vehicle kept at night?
Depending on where your vehicles are kept at night can reduce or increase the risk of your vehicle being broken into or stolen. That’s why many insurers will ask about where you keep your vehicles as their location can impact on your premium. Sometimes it can be beneficial to install security measures, such as a Thatcham approved immobiliser, to reduce the risk of theft. The more security measures in place, the more favourably it will be viewed by your insurer.
5. What level of cover do you need?
There are three levels of cover including:
- Third party fire & theft
- Third party only
Most insurers will offer you the option of all the above cover levels but it’s up to you what level of cover you choose. It’s important to note that damage to your vehicle is only covered if you choose comprehensive cover. If you were involved in an accident you would not be able to claim for damage to your vehicle under third party fire & theft or third party only cover.
6. How much voluntary excess do you want to pay?
Sometimes having a larger excess can lower your premium but you should consider what you would have to pay in the event of a claim. Remember any voluntary excess you choose will be in addition to any compulsory excess the insurer has applied. It’s up to you how much excess you want to pay in the event of a claim.
Rural’s Motor Product Manager, Lee Ellis says when looking for farm motor insurance, it’s important to consider these questions so you know what level of cover you’ll need. They may seem simple but by making sure you know the key details you’re more likely to get right cover at the right price for your business.
About Rural Insurance
Rural Insurance is a specialist rural and agricultural insurer providing farm, farm motor and rural business motor insurance to rural communities across the UK. With more than 20 years’ experience, they help over 26,000 customers keep their businesses moving in a rural economy that never stands still.
To find out more about Rural’s farm and farm motor insurance visit their website www.ruralinsurance.co.uk