Farm Equipment Breakdown Insurance

Standard farm property insurance covers damage from external events like fire, storm, theft and accidental damage. It does not cover internal mechanical or electrical failure. Equipment breakdown insurance is a separate cover that needs to be added to your policy, either as an extension or a standalone section. Check with your Shielded broker.

Yes. Bore pumps, submersible pumps and irrigation pumps are among the most commonly claimed items under farm equipment breakdown policies. Cover includes burnout of the electric motor, mechanical failure of the pump assembly, and in some cases the cost of pulling and reinstalling a submersible pump. Age limits may apply.

Consequential loss or spoilage cover is available as an extension on many equipment breakdown policies. If a refrigeration unit or milk vat breaks down and product is spoiled as a result, this extension covers the value of the lost product. This is critical for dairy, horticulture and any operation storing perishable goods.

Some insurers impose age limits, typically 10 to 15 years for certain equipment types such as pumps and motors. Older equipment may still be insurable but could attract higher excesses or require evidence of recent servicing. Discuss your specific equipment with your Shielded broker to confirm eligibility.

Equipment breakdown insurance generally covers fixed and installed plant rather than mobile vehicles. Tractors, utes and trucks are covered for mechanical failure under a motor vehicle mechanical breakdown or warranty policy, not under farm equipment breakdown cover. However, tractor-mounted implements and PTO-driven equipment may be eligible.

Yes. Most equipment breakdown policies include a condition requiring equipment to be maintained in accordance with manufacturer recommendations. If an insurer can demonstrate that a breakdown resulted from lack of maintenance, neglect or failure to service, the claim may be declined. Keep maintenance records and service logs.

Equipment breakdown cover for farms is available from WFI, Elders Insurance, QBE, CGU, Zurich and Hollard, typically as an add-on section within a farm package policy. At Shielded, we compare options across our insurer panel to find the right cover for your critical farm equipment.

Australian farm insurance typically includes cover for farm buildings and structures, contents and machinery, livestock, crops, public liability, farm motor vehicles, and business interruption. Most insurers offer a farm package policy that bundles these covers together. At Shielded, we compare packages from insurers like WFI, Elders, QBE, CGU, Zurich, Hollard and others to find the right combination for your operation.

Farm insurance premiums vary significantly based on property value, location, farm type, and the covers selected. A basic hobby farm package may cost $1,500 to $4,000 per year, while a large broadacre or cattle operation could range from $5,000 to $20,000 or more. Factors like bushfire or flood risk zones, claims history, and the value of machinery and livestock all affect pricing. Request a free quote through Shielded for an accurate indication.

Crop insurance is usually an optional add-on to a standard farm package, not included by default. It protects against losses from hail, frost, fire, flood and other weather events that affect crop yield and quality. Multi-peril crop insurance (MPCI) provides broader cover but is priced based on your specific crop type, location and historical yields.

Most comprehensive farm insurance policies include cover for bushfire, storm and flood damage to buildings, contents, machinery and fencing. However, coverage limits and excesses can vary significantly depending on your property's risk rating. Properties in high-risk bushfire or flood zones may face higher premiums or specific excess levels. It is important to review your policy details and sum insured amounts regularly.

Farm liability insurance (also called public liability) protects you against claims for bodily injury or property damage caused by your farming operations. If a visitor, contractor or neighbour is injured on your property, or your livestock escape and cause damage, liability cover pays for legal costs and compensation. Most farm package policies include $10M to $20M of public liability cover as standard.

Farm machinery and equipment are typically covered under the contents and machinery section of a farm package policy. However, high-value items like harvesters, headers, tractors and irrigation equipment should be individually listed with accurate sum insured values. Portable equipment and items used away from the property may need additional cover. Review your sums insured annually as replacement costs increase.

Contact us at Shielded Insurance on 1800 97 98 99 or reach out to your insurer directly. We recommend notifying us as soon as possible after a loss event, documenting the damage with photos, and keeping records of all related expenses. Our team will guide you through the claims process.

Yes. Hobby farms and lifestyle properties can be insured under specialist rural property policies or scaled-down farm packages. These policies typically cover the dwelling, sheds and outbuildings, fencing, a small number of livestock, hobby machinery and public liability. Insurers like CGU, WFI and QBE all offer hobby farm products. Premiums are generally lower than commercial farm policies.

We compare farm insurance quotes from a wide panel of Australian rural insurers including WFI, Elders Insurance, QBE, CGU, Zurich, Hollard, Nutrien Ag Solutions and others. The best insurer for your situation depends on your farm type, location, and the specific covers you need. As brokers, we do the comparison work for you.

Review your farm insurance annually at renewal, or whenever there are significant changes to your operation - such as purchasing new machinery, building new structures, expanding acreage, adding livestock, or changing your farming activities. Building costs and machinery replacement values increase over time, so keeping your sums insured up to date is essential to avoid being underinsured at claim time.