04/06/2021

Top 5 Farm Insurance Myths

Taking care of your crops, livestocks, upkeep and more is not just your responsibility, it’s your livelihood. Farm Insurance coverage can be stressful to figure out, especially since there are a variety of aspects to consider. Thankfully, with our help, we can ensure your farm or ranch is covered and your mind is at ease. When obtaining coverage or looking to update your current policy, stay aware of these common Farm Insurance myths.

Myth #1: Farm Insurance Offered as a Standard Package

  • We know most farm and ranch operations are unique and have different needs. That’s why Farm Insurance policies are not typically offered as standard packages. There are a variety of policy offerings designed to be customized to your specific needs. 

Myth #2: Crop Insurance Premiums are High 

  • To encourage farmers and ranchers to utilize and obtain crop insurance, it is federally subsidized. This signifies that the government helps cover some of your costs. Also, to increase accessibility for farmers and ranchers joining the industry, there are programs through the USDA’s Risk Management Agency (RMA) that include lower premium subsidies and a waiver against fees.

Myth #3: Disaster Assistance > Crop Insurance

  • Disaster assistance coverage isn’t always clear or outlined and types of crops, losses, etc. could be limiting. Crop insurance provides a guaranteed amount of coverage and gives farmers and ranchers the opportunity to cover different crops and losses.  

Myth #4: Farm or Ranch Vehicles Need Auto Insurance Coverage

  • Auto insurance covers most vehicles. However, trucks, tractors or vans used for farm and ranch operations will likely need farm auto coverage to ensure it is covered for your specific needs. 

Myth #5: Crop Insurance Only Covers Corn or Wheat Growers

  • Federally subsidized crop insurance signifies that it is accessible for more than 500 different types of crops. Additionally, there is no minimum acreage requirement to qualify and it is available nationwide.

Protect your farm and ranch from the unexpected. As you explore Farm & Ranch Insurance policy options, there is a lot to consider. If you have any questions or would like to discuss any of these myths further to get more details, contact us and consult your local OKFB Insurance Agent today.

woman farmer standing outside next to pickup truck