The Multi-Risk Agricultural Insurance: An Essential Protection for Your Farm – BTS Insurance Course

Multirisk agricultural insurance is aimed at a wide range of farmers. Whether you are a grain producer, winemaker, livestock farmer, market gardener, or horticulturist, this insurance offers you protection tailored to your specific needs. It is also ideal for beekeepers, aquaculturists, and equestrian center operators. Each type of agricultural activity benefits from customized coverages to address the particular risks it faces. Additionally, young farmers can benefit from preferential rates to help secure their farms early in their careers.

Essential Coverages of Multirisks Agricultural Insurance

Protection of Your Assets

Multirisk agricultural insurance covers damages caused to the entire farm, including the buildings listed in the insurance contract, including those used for residential purposes, their contents (furniture, agricultural equipment, etc.), merchandise, animals, and crops. Some of these assets are also covered if located outside the buildings or property, during travels for farm needs or in case of agricultural mutual aid.

Covered Events Under the Multirisks Agricultural Insurance Contract

Fire, Explosion, Lightning Strike

You must prove that your buildings or equipment are insured to benefit from the agricultural calamities scheme.

Storm, Hail, Snow Load on Roofs

Check the insurance conditions for barns, silos, and tanks.

Water Damage

Material damages caused by water to insured assets are guaranteed, including damages from leaks, floods, and overflows.

Theft

This coverage is subject to conditions: prevention measures (locks…), circumstances of theft (burglary…). Theft of animals from the farm and theft of contents of greenhouses are not always covered.

Glass Breakage

This involves glass products (window and door glazing, mirrors…) of residential buildings.

Natural Disasters, Attacks, and Acts of Terrorism

The insured assets are automatically covered against natural disasters (floods, earthquakes, avalanches…) except for damages caused to unharvested crops, cultures, sands, and livestock outside buildings, for which compensation is governed by the calamity scheme.

Optional Coverages of the Multirisks Agricultural Insurance Contract

Some coverages can be provided to cover expenses and losses such as:

• Deprivation of use of farms and housing rendered unusable following a damage.
• Loss of rents: the amount of rents you may be deprived of as a non-operator owner during the repair period.
• Costs of demolition and debris removal to restore the premises.
• Indirect losses to reimburse some expenses (with supporting documents).
• Reconstruction indemnity at replacement value for buildings.
• Reimbursement of expert fees of your chosen specialist.
• The cost of recreating non-electronic support materials, duplication fees for digital information, including study and analysis files.

Liability and Legal Protection

General Professional and Private Liability

The insurer compensates victims of accidents caused by:

• You, your spouse, and your children, whether they participate or not in the farm, as well as non-paid family helpers (volunteer assistance).
• Your employees, whether paid or not, including interns. However, their private liability is not covered.
• Your children or employees when they unknowingly use a vehicle that does not belong to you.
• The real estate of the farm and residential property (farm buildings, walls, fences, trees, etc.).
• The furnishings and equipment of the farm (tools, machinery…).
• Livestock and domestic animals (even outside the farm: on roads, at fairs, etc.).
• Anything under your care, including harvests that, if set on fire, could engage your liability.

Waiver of Recourse Clause

After settling compensation with the victim of a damaging event, the victim’s insurer has the possibility of recovering the amount paid from the responsible party. To prevent this situation, insurers sometimes agree to include a waiver of recourse clause against the owner, the farmer, the tenant, or the sharecropper in the multirisks agricultural insurance contract.

Limits and Exclusions of Multirisks Agricultural Insurance

Coverage Limits

• Some coverages are limited, others are capped (at a determined amount or a multiple of the contract index).
• The sums insured under the multirisks agricultural insurance contract are indexed.
• Be aware of deductibles that may remain your responsibility.

Exclusions of Multirisks Agricultural Insurance

Multirisks agricultural insurance does not cover certain risks for which specific contracts are required, such as:

• Social protection, which falls under specialized schemes.
• Damages caused to crops by hail, storm, or other climatic hazards.
• Construction disorders for new or rehabilitated buildings (mandatory damage insurance for construction works).
• The liability arising from motor vehicles (separate automobile policy).
• Livestock mortality caused by illness or accident.
• Related industrial activities of significant scale or character (possible extension in some contracts).
• Classified installations for environmental protection (ICPE).
• Consequences of inexcusable fault by the employer.

Conclusion

Multirisk agricultural insurance is an essential tool to secure your farm and ensure the sustainability of your activities. By choosing coverage options suited to your needs, you can work with peace of mind and protect your agricultural assets against various risks.

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