Alongside the hustle and bustle of buying and selling pedigree animals, there is a requirement of robust protection to ensure the farmer doesn’t lose out financially – whether the vendor or purchaser.
Specialist livestock insurance proves vital in these situations, as Amy Scott, Agricultural Team Leader at H&H Insurance Brokers explains.
Why Insurance Matters at Livestock Markets
Insurance brokers specialising in agriculture and rural business, such as H&H Insurance Brokers, have long supported farmers at auction marts.
To ensure vendors and purchasers get better cover, more competitive rates and easier to access information, we recently revamped our H&H in-Livestock Insurance product.
Livestock sales involve significant financial commitments. Whether you’re selling a prized pedigree ram or investing in a pedigree bull, there are many risks involved.
Things to consider include accidents during transit, sudden illness or even theft.
Having comprehensive livestock insurance ensures that, if the unexpected happens, the farmers’ investment – and ultimately their livelihood – is safeguarded.
Livestock Insurance Explained
All Risks Mortality
This insurance is a comprehensive policy designed to protect livestock owners against the financial loss caused by the death of an insured animal due to an unforeseen event. It is widely used for high-value pedigree animals. It covers death from accident, illness or disease, as well as protecting against catastrophic events (such as fire, flood, storm, etc), transit risks and humane destruction (euthanasia).
Breeding Warranty
A specialist cover designed for vendors selling pedigree breeding livestock, such as bulls, rams or high-value females. The purpose of this cover is to provide assurance to the buyer that the animal is fertile and capable of performing its intended role. The policy covers the fertility guarantee of the sold animal, refund or compensation if the animal proves infertile and vendor protection.
Luckpenny
A three-month policy that can be taken out by vendors at the point of sale which provides death-only cover to purchasers. By putting this cover in place, it gives both parties confidence and peace of mind in case the worse happens as it provides vendor protection and buyer assurance.
Loss of Use
A specialist livestock cover designed to protect purchasers of high-value breeding animals when the animal becomes permanently incapable of performing the role it was bought for, even though it remains alive. If a bull is permanently infertile or impotent due to an accident, illness or disease, the policy compensates the owner for potential financial loss.
Government Slaughter Extensions
An optional addition within livestock insurance policies that provides cover when animals are compulsorily culled under official government orders due to disease control measures. If your livestock is ordered to be destroyed by government authorities for Foot & Mouth, Bovine TB, bird flu, etc, this policy compensates you for the insured value of the destroyed animal.
These packages are available immediately after a sale or purchase, and staff at insurance brokers should always be on hand to provide advice and quotations as soon as they are required.
Independent brokers who have a specialism working in agriculture, will understand the pressures and challenges farmers face, and their livestock insurance packages should reflect that.
H&H Insurance Brokers have teams at local marts during sales to ensure they are ready to provide immediate support and advice.
H&H in-Livestock Insurance is available as stand-alone cover, meaning farmers don’t need to hold other policies with H&H Insurance Brokers to benefit. However, for those seeking full herd protection, additional options are only available when full farm insurance is held with the company.