Insurance on Tractors?

[DonWorrell]

I own a 3325 which is a 3525 without power steering and a live PTO.

I financed mine through Agricredit in Iowa (0% for 36 months). My home owners insurance would not cover my tractor. So I went to Farm Bureau and insured my tractor for $8,100 and it cost me $81.00 or 1% of value per year. I am covered for everything, fire, theft, liability, flood and etc.

Don

[wallace]

Originally Posted by DB KANSAS

I just bought a 5525 and got insurance through my dealer for about $7.15 per month. It is supposed to cover flood, theft, fire, tornado etc. I also live away from the land where the tractor is kept.

DB

Just to make sure you are on the right page...
The insurance you got is called physical damage insurance..
That only pays the loan on your tractor off, it will not replace it.
So month 46 of a 48 month note the tractor gets stollen you will not be responsible for the last to payments.

A lot of dealers don't mention this to you.

[jlinskey]

In Ga, I have separate Cotton State property coverage policy on my tractor and ag gear. This policy covers it in case of fire and theft up to a stated value. If I remember correctly, I pay around $80 every 6 months to cover $10K of equipment.

From my experience, home owners insurance in GA will only cover a very limited amount up to $2~3K or none. Rules are set differently by each state, so do check with your insurance provider.

[rvaitor]

Originally Posted by DB KANSAS

I just bought a 5525 and got insurance through my dealer for about $7.15 per month. It is supposed to cover flood, theft, fire, tornado etc. I also live away from the land where the tractor is kept.

DB

I tried to get mine covered by FARM Bureau - no go. Ended up getting insurance through the finance company and have kept the financing primarily for the insurance which I think is about $15/mo. Maybe a little pricey - they also, I think, just do the depreciated value(who knows what that is). Compounding my problem is the tractor is in a different state from my primary residence.

[rvaitor]

Originally Posted by wallace

Just to make sure you are on the right page...
The insurance you got is called physical damage insurance..
That only pays the loan on your tractor off, it will not replace it.
So month 46 of a 48 month note the tractor gets stollen you will not be responsible for the last to payments.

A lot of dealers don't mention this to you.

That sounds like PPI, Payment Protection Insurance, not physical damage. I remember looking a mine fairly closely and the main thing that bothered me is what the value of the replacement was. I think I remember talking to someone and they said it didn't matter what the balance was, but now you have my wheels turning. When I get a chance I may need to make a call.

[bindian]

Originally Posted by warcat

I'm leaning heavily towards buying a new Mahindra 3525 within the next month or so. Since I'll be financing, I figure it's just like buying a car or boat...the finance company will want it insured- Correct?

If so, then what will I be looking at paying? Who insures your 3525, and how much does it run?

Warcat.
I financed through Agri Credit. They wanted around $25 a month for insurance for the $41,000 of equipment I bought. I had All State homeowners and auto insurance at the time. The were higher than Agri Credit. Then I went to Farm Burearu of Texas. They insured the equipment AND my 20 foot gooseneck trailer for only $11 a month, plus a $40 a year membership fee. They also undercut Allstates rates on my 2002 Ram 2500. Now I have my daughters 2003 Ram 1500 insured there as well.
hugs, Brandi

[DavesTractor]

Originally Posted by wallace

Just to make sure you are on the right page...
The insurance you got is called physical damage insurance..
That only pays the loan on your tractor off, it will not replace it.
So month 46 of a 48 month note the tractor gets stollen you will not be responsible for the last to payments.

A lot of dealers don't mention this to you.

Rick, the insurance we use via Agri-Credit out here in California costs $7.40/month per $10K in tractor value and is a $500 deductible actual cash value physical damage coverage. Are you sure it only pays off the loan? States vary in coverage and in costs.

Also, someone mentioned that his auto insurance would cover the tractor while it is being towed. That is normally NOT the case. They would cover it for liability while being towed, like if it falls off the trailer and rolls over someones parked car, but the tractor itself would not be insured, just like any other item you carry. Commercial carriers usually have coverage for physical damage of contents, normal auto policies don't.

Regarding HO insurance, make sure you have coverage. Normally if there is coverage, it is stipulated carefully. Can't ever be used for business, must stay on the property and be used for the care of the property, etc. Often there is a monetary cap as well.

[hydrovane218]

My $0.02
I bought a 3203 JD($20,000 with loaderCDN) and when I asked my State Farm guy about it, he was puzzled as how to insure it(he is in the city).
He did end up asking if I drive it on the road( I said NO); Long story short....I paid about$450 for the year.\??????????

[warcat]

Well, I got a couple of quotes yesterday, and I think Allstate might be confused on how to insure it also. I think they did it as if it were a car. I was quoted $1100 for the year. Before that I had called Farm Bureau and was quoted $70 for the year with a $40 membership fee. I asked him two or three times if he was sure, and he said yes. I think I know who I'm going with when I make the big purchase.

[fastgun]

My insurance is in a policy labeled as "In-land Marine" coverage.

It covers my tractor from accident, fire, theft etc, and it gives me coverage to drive down a public road....much the same as auto liability.

My agent searched a while and the in land marine coverage seems to available for a fairly wide range of machines and activities......maybe worth checking out in you State.