Insurance For Home Use: Compact Tractor?

[TommyB33]

I don't know about insuring the actual machine, but for liability I recommend having at least a 1 million dollar umbrella policy. this will protect you personally and your properties in case of any liability claim. my policy covers up to 4 properties and any liability suite brought against us, it only costs a few hundred dollars per year.

What do you mean it covers up to four properties? I知 guessing they would all have to be your property.

An umbrella policy will NOT cover liability if you are on someone else痴 property UNLESS you have primary liability insurance on the tractor.

 

[herm0016]

What do you mean it covers up to four properties? I知 guessing they would all have to be your property.

An umbrella policy will NOT cover liability if you are on someone else痴 property UNLESS you have primary liability insurance on the tractor.

Yes you have to own all the properties. Ex: rental houses. It should also cover you if you run over a bicyclist and the get more than your primary liability on you car insurance. Or you trip someone walking down not you sidewalk. So it should cover someone suing you over something that happens with your tractor on or off your property, at least that is how I understand my policy.

 

[TommyB33]

Yes you have to own all the properties. Ex: rental houses. It should also cover you if you run over a bicyclist and the get more than your primary liability on you car insurance. Or you trip someone walking down not you sidewalk. So it should cover someone suing you over something that happens with your tractor on or off your property, at least that is how I understand my policy.

You might want to check with your agent/review your policy, because the umbrella part won’t cover liability on tractors use not on your property.

 

[Threepoint]

You might want to check with your agent/review your policy, because the umbrella part won稚 cover liability on tractors use not on your property.

+1 on this. It is my understanding that umbrella policies merely expand the limits of underlying liability coverage that you already have in place, and the underlying coverage must cover the particular property and occurrence in question. That is why umbrella policies expressly require you to maintain a certain minimum amount of primary liability coverage on the scheduled property, e.g., your automotive vehicles, an offshore fishing boat, a sailboat, an RV, your rental properties. In fact, some umbrella coverage issuers even require that the underlying coverage be issued by them. If it isn't, then their umbrella policy won't extend to that property, even if you have liability coverage on it written by another carrier.

NB: Even if you have primary liability insurance in place, the umbrella coverage will not extend to occurrences excluded by the primary coverage. So, for example, if you accidentally back your tractor into your neighbor's pickup truck and cause serious bodily injury while he is visiting you on your property, your primary homeowner's coverage and your umbrella policy will likely both protect you. By contrast, if the same accident occurs on your neighbor's property while you are visiting him and doing him a favor, it is quite likely that the homeowner's coverage will not apply, and by extension neither would the umbrella policy, if it is dependent upon the homeowner's policy as the requisite primary coverage.

I'm not an insurance agent or insurance expert, so my comments are based on my own investigation and personal experience. I'm glad to see that JLB1008 has posted in this thread. Perhaps he will continue to share his expertise with us. :salute:

 

[TommyB33]

So far as I can tell through research, there are ZERO insurance providers in the states that will write a personal use policy on a tractor that includes liability insurance. I found one in Canada that would cost about $240/yr for $2M in coverage, which would be perfect, but they aren’t licensed in the states.

 

[Tractor Seabee]

Hi All,

We just picked up an L2501 for use on our 10 acres. After talking with our insurance agent, it sounds like the tractor would be covered while in use/storage on our land under our traditional homeownerç—´ policy for theft/damage. This coverage ONLY applies if an incident occurs on our land. 99% of its use will be at our place, but I will occasionally drive it over to help a neighbor move dirt etc.

My question is: for those not operating your tractors on a farm or for commercial purposes, are you adding any sort of coverage to your machines? I believe Kubota offers a stand-alone tractor policy, but it was around $500/year. Are there other options for the few hours a year I might be using it off property?

KTAC covers a lot more than fire and theft. Reccomend you check out their coverage and compare with the HO policies. You may change your mind. I had an $8K repair done under KTAC a HO policy would not have covered.

PS to KTAC. You owe me a finders fee for all the tractor owners I have bragged about you too.

Ron

 

[mcfarmall]

So is "inland marine insurance" the name of an insurance company or the name of a type of insurance product? A quick Google search for "inland marine insurance" did not reveal a COMPANY by that name.

 

[adventure bob]

One thing I would be midful of when you go through your homeowners for a tractor is that you're going to have any damage assessed by their claims adjuster who is normaly a "vehicle adjuster" not a tractor expert. They are also then going to devaluate your tractor by assessed value, considering things like condition age and hrs. If you go with something like KTAC their adjuster is your tractor dealership and they do not adjust for assessed value. I have made 2 claims with KTAC and am extremely happy. KTAC does not cover your liability while working on someone elses property, you'd have to find a different provider for that. If your doing it commercially that gets kinda pricey.

 

[mcfarmall]

So far as I can tell through research, there are ZERO insurance providers in the states that will write a personal use policy on a tractor that includes liability insurance. I found one in Canada that would cost about $240/yr for $2M in coverage, which would be perfect, but they aren’t licensed in the states.

I have a $1M umbrella liability policy...That might be an option for liability coverage on the tractor. It was my understanding that the umbrella policy covers everything, like an umbrella!

 

[TommyB33]

I have a $1M umbrella liability policy...That might be an option for liability coverage on the tractor. It was my understanding that the umbrella policy covers everything, like an umbrella!

Umbrella coverage is secondary. For it to kick in and provide a payout, you need to have a primary liability insurance policy in place, otherwise there is ZERO coverage from the umbrella policy.