Australia’s farmers and landowners form the backbone of our economy, producing food, fibre, and resources for both domestic and international markets. 

Yet, rural industries face growing challenges—from climate extremes to legal liabilities—that threaten livelihoods and property. For those living on and working the land, having the right general insurance coverage is not just a safety net—it’s essential risk management.

Below, we explore the top five issues facing farmers today and how the guidance of a qualified general insurance broker or adviser can help mitigate those risks and provide peace of mind.

1. Natural Disasters and Extreme Weather

   Bushfires, floods, droughts, cyclones—Australian farmers are no strangers to nature’s wrath. In recent years, the frequency and severity of these events have intensified. One unexpected disaster can lead to the loss of crops, livestock, machinery, and infrastructure.

   How insurance can help: A general insurance broker or adviser can help tailor policies that provide adequate cover for property damage, loss of income, livestock mortality, and crop destruction. They can also ensure your sum insured reflects current rebuilding and replacement costs, helping you recover faster when disaster strikes.

2. Equipment and Machinery Breakdown

   Modern farming depends heavily on equipment like tractors, harvesters, irrigation systems, and cooling units. If these break down—especially during peak seasons like harvest—the costs can be crippling.

   How insurance can help: Equipment breakdown cover, often overlooked, can be included in a tailored farm policy. A general insurance broker or adviser will assess your risk exposure and ensure you’re covered not only for repair or replacement but also for any resulting business interruption.

3. Legal Liability and Public Risk

   Farms can be hazardous environments. Accidents involving contractors, employees, or even visitors can lead to costly legal claims. Additionally, activities like chemical spraying, straying livestock, or property damage to neighbouring land can result in disputes or liability claims.

   How insurance can help: Public and product liability insurance, as well as farm legal liability cover, are crucial. Brokers or advisers can help navigate the complexities of liability risk, ensuring coverage is adequate, compliant, and specific to your farming operation and land use.

4. Theft, Vandalism, and Biosecurity Threats

   Remote locations and large land areas can make farms vulnerable to theft and vandalism. In recent years, farmers have also become more concerned about biosecurity threats from outside parties or accidental breaches.

   How insurance can help: Specialist rural insurance policies can include cover for theft of tools, fuel, livestock, and farm produce. Biosecurity threats are more complex, but a good adviser can connect you with insurers that offer niche coverage or risk mitigation services to protect against operational downtime or losses.

5. Succession Planning and Asset Protection

   Farming is often a generational pursuit, but passing assets and operations to the next generation can be fraught with complexity. Missteps can lead to family disputes, tax consequences, or even the sale of land to cover liabilities.

   How insurance can help: While general insurance doesn’t replace legal and financial advice, an adviser plays a key role in protecting the value of farm assets. With appropriate cover in place—such as farm property, income protection, and life insurance partnerships—they can help ensure assets are protected for the long term, easing the path for succession planning.

Why Use a General Insurance Broker or Adviser?

Farm insurance is not one-size-fits-all. A broker or adviser with experience in rural insurance understands the nuances of farming operations and the unique risks involved. They take the time to assess your land, assets, and activities, offering customised solutions that evolve as your business grows or changes.

Additionally, brokers or advisers advocate on your behalf when making claims—saving you time, reducing stress, and helping you get the best possible outcome.

Final Thought

For farmers and landowners, general insurance is more than a box to tick. It’s a vital investment in resilience and business continuity. With expert advice, you can safeguard your livelihood against the unpredictable and the uncontrollable—so you can focus on what you do best: producing for Australia and the world.

If this article has inspired you to think about your unique situation and, more importantly, what you and your family are going through right now, please get in touch with your advice professional.

This information does not consider any person’s objectives, financial situation, or needs. Before making a decision, you should consider whether it is appropriate in light of your particular objectives, financial situation, or needs.

(Feedsy Exclusive)