How to Cover Against Tornado Loss
With an active storm season this year, you need to know how to protect your operation against damaging losses.
FBN® offers crop-hail insurance that is often acre specific in the event of damaging storms.
In the video listed below, FBN Crop Insurance Agent Mark Miller explains how a crop-hail policy can be used to protect your operation against a potentially devastating loss due to a tornadic event.
What Could Be Covered
As Mark explains, a few of the things that your crop-hail policy could potentially cover are:
Actively growing crops
Grain bin storage endorsement
Crop-Hail Coverage from FBN Insurance
Don’t think of mortality as a problem with crops until the wall cloud blows over and there is nothing but stubble left in your fields.
Work with your FBN Crop Insurance Agent to put a solid risk management plan in place that includes crop-hail insurance that could potentially cover what your multi-peril policy doesn’t.
The goal is to make sure your crop-hail insurance adequately covers what you have at risk, or stand to lose.
Call (877) 576-4468 to get connected to your local FBN Crop Insurance agent and initiate customized coverage for your operation, or click for more information on crop-hail insurance.
One of the benefits of crop-hail insurance is that it covers crops on a per acre basis. This means that even if only a portion of a field is damaged by a storm, you will still have coverage. Losses are also determined on a yield loss basis, so even if a plant is not destroyed by the storm, but its ability to yield a crop is compromised, a loss would be paid based on the severity of the damage and how many acres were damaged.
We get a lot of intense hail and a lot of high winds in the event of a tornado. Let's look at Some of the coverages that you would have the benefits of if you were actively growing the crop.
For irrigated crops, if the tornado came through and damaged the irrigation equipment, such as blowing the pivot away, damaging the well head or something of that nature, those damages would be covered due to a crop loss if you couldn't irrigate the crop throughout the season.
Another benefit of crop-hail coverage is that insurers in some states, offer grain bin storage endorsement. This endorsement would cover the amount of the grain that was in the storage tank or the bin. If the tornado came through and blew the bin away, you would have coverage on that stored grain.
Another benefit would be if you were delivering grain out of that bin and you had a truck on the road and that truck experienced some high wind, you would actually be covered.
So when asking about coverage for tornadoes, remember that everything is crop specific and area specific. I would encourage you to reach out to your local crop insurance agent to find out about the exact coverage levels that are available in your area and state.
Please reach out to your local FBN crop insurance agent or visit us online for more information.
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Disclaimer: The purpose of the following material is to promote awareness of risk management concepts and to highlight risk management products, features, benefits and availability. This presentation does not provide full details of policy provisions or approved procedures. Producers should consult with a local agent for specific details and program requirements.
We are an Equal Opportunity Provider. FBN Insurance services are offered by FBN Insurance LLC (dba FBN Insurance Solutions Services LLC in Texas, and FBN Insurance Solutions LLC in California and Michigan). FBN membership is not required to purchase through FBN Insurance LLC, but certain features may only be available to FBN members. FBN Crop Insurance is currently offered in all U.S. states.