Your Farm, your Home, your Business
- Although agriculture is big business, many of the farms are smaller family or hobby farms and a significant loss of crops, livestock, or equipment can be devastating.
- These risks need to be insured, and we, at Hancock Insurance, are professionals who understand the business of farm insurance and can help you choose appropriate coverage to meet all your needs.
- The first step is to determine if you are a “farm.” We can tell you what practices constitute farming, and help you identify all operations on the farm to determine what types of farming insurance apply to you.
- Contact Hancock Insurance, where a farmers handshake still has meaning.
If you need more information, e-mail us your questions at firstname.lastname@example.org.
1. What is the difference between actual cash value and replacement value?
Actual Cash Value is the value of the building after depreciation has been applied and requires contribution to the repair of the building by the insured.
Replacement Value is the cost of replacement of a “like” building using similar quality of materials and workmanship without depreciation.
2. When is co-insurance invoked?
Co-Insurance is invoked on a partial loss, requiring the insurance of the property, to a certain percentage of its replacement value. Example: With an 80% co-insurance clause, 80% of the item’s replacement value must be insured. With underinsured items, the following formula is applied:
Replacement value: $500,000
80% value: $400,000
Insurance carried: $350,000
Insurance Co. pays: $175,000
With a total insurable loss, the full insurance carried would be paid.
3. How does business interruption insurance help me?
Business interruption insurance protects against losses resulting from a temporary shutdown and provides reimbursement for lost net profits and necessary continuing expenses. It can also cover business relocation costs if original place of business has been damaged.
To find out the various business interruption coverage options, contact one of our brokers.
4. When does livestock coverage apply?
Livestock coverage applies in the death of an animal by fire, wind, lightening, entrapment, vehicle strike, casting, colic, tuberculosis, and power interruption.
5. Where do I get information on fuel tank risks and safety?
Please view the following link with respect to risks and prevention of fuel oil losses. Oil Tank/Fuel Safety
Ontario Ministry of Agriculture, Food & Rural Affairs
Ontario Federation of Agriculture
Dairy Farmers of Ontario
Ontario Cattlemen’s Assocation
Ontario Livestock & Poultry Council
Technical Standards & Safety Authority (Fuel Tanks)
Ontario Plowman’s Association
Farmers Markets Ontario