If you manage a small hobby farm you likely already know how integral livestock is to its success and why insuring your animals is a smart move.
In fact, an essential component of hobby farm insurance for those with animals is livestock insurance.
WHAT IS LIVESTOCK INSURANCE?
Typically found under a larger farm insurance policy, livestock insurance helps cover your losses related to farm animals.
WHICH ANIMALS ARE COVERED UNDER LIVESTOCK INSURANCE?
Typical animals covered under livestock include:
- cattle (could be classified separately as beef or dairy)
- sheep
- goats
- poultry (which includes various types)
Saddle animals may also be covered which includes horses and even donkeys.
Although not typical, we have even seen dogs listed on an insurance policy.
As you probably expect, most other family pets are not included on a farm or home insurance and are usually not covered under such property insurance policies. This includes pets such as cats, fish, rodents and whatever other creature your kids may bring home and ask mom and dad if they can keep it as a “pet”.
WHAT CAN LIVESTOCK INSURANCE COVER?
Coverage for livestock can vary from the most basic “Limited Names Perils Coverage” to the regular “Standard Named Perils Coverage” up to the best available under “Broad Named Perils Coverage”.
Depending on the type of coverage you have on your policy, insured perils may include:
- Fire
- Lightening
- Explosion
- Smoke
- Windstorm or Hail
- Earthquake, Collapse of Building
- Flood
- Collision or Derailment (of a vehicle while being transported)
- Impact by Vehicle
- Theft
- Accidental Shooting
- Drowning
- Electrocution
- Attack by Wild Animals
- Power Interruption or Mechanical Breakdown (unfortunately can occur more often for poultry and a farm may require a standby generator to qualify for this coverage)
- Huddling, Smothering
- Entrapment
Broad Named Perils Coverage also includes:
- Frothy Bloat
- Physical Injury
- Rabies
- Animal Birth
These are not fun scenarios to consider, but that’s what insurance is meant for, to help protect you in the case of a worst-case scenario.
Like any type of insurance, there are also exclusions, such as:
- War, invasion, an act of a foreign enemy
- freezing or extremes of temperature
- wear, tear, scratching, marring, gradual deterioration
- intentional or criminal acts
- mysterious disappearance
A Livestock Mortality Insurance policy is also an option for some animals and it may include some perils which are typically excluded under standard livestock coverage.
HOW MUCH DOES LIVESTOCK INSURANCE COST?
Like almost every type of insurance, the cost of livestock insurance depends on many variables.
Some variables can generally be applied to all policy types such as deductible limit, whether it’s bundled with other insurance policies, past claim history etc., but in terms of livestock insurance specifically, this would primarily depend on things like:
- Type of livestock
- Number of animals
- Replacement cost of animals
- Overall risk level
- Size and location of the farm
You can reach out to get a farm insurance quote or a hobby farm insurance quote anytime and we’ll be happy to answer any questions you may have.
Erie Mutual Insurance proudly serves the commercial insurance, farm insurance, home insurance and auto insurance needs of members throughout Southern Ontario including Haldimand, Niagara and Hamilton.
Please don’t hesitate to contact us with any questions you may have about this or any other topic related to your insurance.
