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Understanding outbuilding insurance options

An important part of a farm or ranch policy is the protection it offers for damage to farm or ranch buildings and structures. These buildings must be listed on the policy to be covered.

In addition to barns, stables, pens, confinement buildings and sheds, other outbuildings include cold storage structures, rice dryers, nut hullers, packing houses, prune dehydrators and potato storage sheds, for example.

Coverage for farm buildings includes:

  • Water pumps, motors and other outdoor equipment used for the operation of the building
  • Furniture, fixtures, machinery and equipment — pertaining to the use of the building — located in, on or within 100 feet of the building

Also talk to an agent about:

  • Insuring farm buildings for replacement cost or actual cash value
  • The causes of loss (broad, basic or special) for which you want to insure
  • How much deductible to carry. A higher deductible may lower premiums, but the policyholder would have to pay more in the event of a loss.
  • The current values of farm buildings

Under certain conditions, AgriChoice may also provide coverage for collapse of farm buildings.

Extended coverage for new farm buildings

If a new barn, shelter or other confinement building is added to the operation, AgriChoice extends coverage of up to $100,000 for 60 days (beginning when the building materials are delivered) or until the next renewal date. When the policy is about to renew, discuss the values of any new structures with your agent to be sure you’re properly insured.

Don’t forget the fixtures

The AgriChoice policy provides coverage for equipment breakdown and mechanical failure of fixtures or systems built into farm buildings. Be sure the agent is aware of the values of all fixtures, systems and equipment associated with your barns or other structures.

Nationwide has been protecting agriculture for nearly 100 years, including commercial agribusinesses. For more information, contact a local Nationwide agent or go online.

Farm and ranch products are not available in: Alaska, Florida, Hawaii, Louisiana, Massachusetts, New Jersey and Oklahoma. Products underwritten by Nationwide Agribusiness Insurance Company, Farmland Mutual Insurance Company, Allied Property and Casualty Insurance Company and AMCO Insurance Company. Products and discounts not available to all persons in all states. Nationwide, the Nationwide N and Eagle and Nationwide is on your side are service marks of Nationwide Mutual Insurance Company. © 2019 Nationwide.

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