For many people seeking a simpler life and a closer connection to nature, they opt to nurture their land, grow vegetable crops, or raise livestock. Their time well spent is like an investment — especially if some of the activities yield revenue — and needs protection.

Hobby farm insurance is a specialized type of coverage designed to protect individuals who engage in farming activities on a smaller scale. Typically, the size of the land is less than 50 acres and is primarily used for personal enjoyment rather than commercial purposes. 

Unlike traditional farm insurance policies, hobby farm insurance offers different types of coverage, including:

Property coverage. Helps protect the farmhouse, barn, sheds, and other outbuildings from damage caused by fire, severe weather, theft, vandalism, and other specific perils. Make sure to provide proper and accurate valuations of each structure to your insurance advisor.

Liability coverage. Crucial for hobby farmers, liability coverage helps protect you from legal claims if someone is injured on your property, or if your animals cause damage to neighboring properties. It can also cover medical expenses, legal fees, and compensation for the injured party.

Equipment and machinery coverage. If you use tractors, mowers, or other specialized equipment on your hobby farm, this type of policy will help protect your investment in case of theft, damage, or breakdowns. Make sure to provide proper and accurate valuations of each piece of equipment or machinery and discuss coverage options with your insurance advisor.

Livestock coverage. If you raise animals on your hobby farm, consider adding livestock insurance to your policy. It can protect you financially if your animals suffer from illness, injury, theft, or the effects of natural disasters. The coverage might include veterinary expenses and loss of income resulting from the loss of livestock.

FINDING THE RIGHT INSURANCE TEAM

Working with an experienced insurance team that understands this lifestyle will help ensure you have the proper coverage to protect your assets. Consider the following factors when selecting your team:

Specialization. Look for a team that has the expertise and specializes in farm or hobby farm insurance. They will have a better understanding of the unique risks and coverage requirements associated with hobby farms.

Financial stability and reputation. Research the advisory firm’s reputation, client reviews, and financial stability. Verify they have a strong track record of providing excellent client service, maintaining excellent relationships with carriers, and supporting clients with promptly settling claims.

Customization and flexibility. Seek a team that partners with carriers that offer flexible coverage options and the ability to tailor policies to suit your specific needs. Each hobby farm is unique, and a one-size-fits-all approach may not be suitable.

Premiums and deductibles. Compare premiums and deductibles from different carriers to find a balance between affordability and comprehensive coverage — your insurance team will help you navigate this process.