Insurance for financed tractor

[LBrown59]

Originally Posted by hotchkiss

You homeowners likely only provides insurance for theft or damage occurring while the tractor is stored in an insured structure on your property.

Depends on how the policy is written up

[warhammer]

An inland marine policy is what Farm Bureau wrote to cover my tractor.

Originally Posted by cperky

your auto policy wil not cover the damages to your tractor while in transport!! The auto policy will cover your liability to someone else but any damages to your equipment is repaired on your dime! I have personally checked on this for my own tractor and found that you need an inland marine policy for your tractor. I have mine through a state auto insurance agent cost about $110 a year. An inland marine policy will cover your tractor while in transit and at home or anywhere else. Your home owners policy or auto policy WILL NOT COVER your tractor in transit! I would suggest you check around for an INLAND MARINE POLICY!

[hotchkiss]

LEBrown59

Again, the laws in Canada are not applicable in the United States. In fact, the insurance and lending laws MAY very somewhat from state to state in the United States. To answer your question, you can add the tractor to your homeowners policy, but to get the type of coverage that the lender wants the owner has to get a seperate ryder for the tractor. He does not need to have a seperate policy.

Other than that, there are too many facts that we don't know. Nevertheless, the lender can require that the tractor be insured against theft, fire and comprehensive damage occuring while in use.

Other than that, this type of issue is not something that can be answered in this setting. He needs to get is agent and his banker together and let them try to work something out.

[skipro3]

Originally Posted by hotchkiss

He needs to get is agent and his banker together and let them try to work something out.

EXACTLY!!! I use an insurance broker. I called him. He asked me to fax him the letter from the lender requesting the insurance against the loan for the tractor. After reviewing it, he told me no problem, I'm covered and that he would deal with the bank directly himself. And that is why I hired a broker instead of dealing with my insurance company directly. I have SAFECO and my broker said I am covered under my homeowners personal property coverage. He asked me if the cost of the tractor was still within the policy limit dollar amount I have and I told him yes. If the tractor would represent an increase of personal property beyond the dollar amount of the existing coverage, then he would have gotten me a quote for the additional amount.

Good Luck.