Insurance Off own property Liability

oleman · Aug 30, 2012

What do you do about liability insurance when off your property? Home owners insurance will cover on property.
When tractor is on the trailer liability is covered by the truck insurance; off the trailer I am currently not insured.
Another pesty little issues to be concerned about.
Say I am mowing someones property and fall into the sewer system???
A general liability policy is more than I make per year for the use of the tractor.

brin · Aug 30, 2012

You should have an umbrella policy for at least $1M to cover you ...tractor or no tractor , if you have assets or a home to lose...If you are conducting a business with your tractor and offering it and you for hire then you are at big risk without a commercial Insurance policy....There are some insurance agents on TBN....maybe they will speak up.

Misfire · Aug 30, 2012

brin said:
You should have an umbrella policy for at least $1M to cover you ...tractor or no tractor , if you have assets or a home to lose...If you are conducting a business with your tractor and offering it and you for hire then you are at big risk without a commercial Insurance policy....There are some insurance agents on TBN....maybe they will speak up.

+1

Where I live, the best way to cover your kind of exposure is a farm policy. Try your state's Farm Bureau (NOT State Farm Insurance). Sometimes, those kind of policies don't cost any more than a regular homeowners. The policy should cover work for hire. If it doesn't they will offer you a rider. They are usually not too expensive.

Misfire

pineridge03 · Aug 30, 2012

Something to think about... What is cheaper, a $250 general liability policy or the repair of the municipal sewage sytstem? In most cases the liability premium is going to be based on the "class" of business you fall into. If all you do is lawn mowing & maintenance you would fall into a cheaper classification than an individual that might do some incidental excavating or lawn spraying/fertizing. In our area a mowing contractor with 0 employees is going to pay around $250/year for liability insurance.

MHarryE · Aug 30, 2012

I have a farm policy from State Farm Insurance that covers me for up to 200 miles from my home. I understand that distance limitation is due to the distances some customers are from their dealer. I am somewhat screwed because I have my main farm in MN and another in MO, 680 miles away. I only move my mini-excavator between the two. Like someone said, I am covered on the trailer by my truck's insurance but once it us off the trailer I am extra cautious. When one of my brothers-in-law who is playing with a few cards short of a full deck comes around, I park it.

scaredychicken · Aug 30, 2012

Misfire said:
Where I live, the best way to cover your kind of exposure is a farm policy.

that may very well be the best reason for me to get farm status, next year. after the tractor is here. to date we have a home based business and I have not needed farm status.

good info - thanks

mikehaugen · Aug 31, 2012

pineridge03 said:
In most cases the liability premium is going to be based on the "class" of business you fall into. If all you do is lawn mowing & maintenance you would fall into a cheaper classification than an individual that might do some incidental excavating or lawn spraying/fertizing. In our area a mowing contractor with 0 employees is going to pay around $250/year for liability insurance.

is this for lawn mowing or for field/ pasture mowing, or is there really no distinction between the two for insurance purposes?

TripleR · Aug 31, 2012

We only use our tractors on our own farms and they are covered traveling between farms, we hire someone to haul them to the shop if they have to go.

We also have a 1m liability policy on the farms themselves.

pineridge03 · Aug 31, 2012

mikehaugen said:
is this for lawn mowing or for field/ pasture mowing, or is there really no distinction between the two for insurance purposes?

I was referring to mowing lawns, but it would include mowing fields/pasture too. The personal liability provided by a homeowner policy protects you where ever you go. If you are mowing as a favor there would be coverage but if you are being paid for a service, you would ben considered a "contractor" and would need the commercial liability.