Arkansas plays a large role in America’s cattle industry, with 1.7 million head of cattle on over 28,000 farms. This leads to Arkansas being ranked 12th nationally in beef cows on farms, generating over $426 million. Like all major businesses, cattle ranching comes with major rewards and major risks. Ranchers need to be certain they are covered against those risks.
Arkansas Farm Bureau® Insurance Company offers our Ag Promise® Policy to cover your cattle operation. Whether you are concerned with insuring your structures, equipment, livestock, supplies, liability, or everything above, our policy has the coverage you need. Your agent can review your farm to help you select the coverages that best suit your needs.
Cattle Ranch Insurance Considerations
Homeowners policies will not cover your farm equipment. You want to make sure you have a policy in place that will cover all of your farm operations. When speaking with an agent about insuring your cattle ranch, make sure you discuss the following coverage areas:
Weather-Related Damage
Did ice and snow cause the roof of one of your buildings to collapse? Or did a severe windstorm or tornado cause damage to structures and equipment? Did lightning cause a loss to your herd? Weather perils like lightning, wind, snow, and hail can be detrimental to your farm. Make sure your policy will cover the cost of repairs and your cattle. Keep in mind, if your ranch is within a flood zone, you may need additional flood insurance.
Loss of Income
Damage to property, equipment, or some other unforeseen circumstance can cause you to lose income. Ask your agent if your policy will help fill in the gaps.
Replacement Coverage
Replacement Cost Coverage is an optional coverage that allows you to replace the critical structures and equipment on your ranch by not deducting depreciation. If a fire were to burn down a barn, you would be able to rebuild that barn for what it costs today. Ask your agent which pieces of your property qualify for this coverage.
Theft Coverage
Ensure that your policy covers equipment, farm personal property, or animals lost to theft.
Worker’s Compensation
Since Arkansas is one of fifteen states that do not legally require worker’s compensation for agriculture workers, it’s a good idea to carry Employer’s Liability Coverage.
If you are a cattle rancher looking for quality farm insurance, or just have questions about the coverage options available to you, contact an agent near you.
