Do you operate a tractor? Whether you use it for your daily farming activities, excavating or other construction projects, this heavy equipment must be fully protected with a tractor insurance policy. Below is a list of things that should be part of the protection coverage.
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Breakdown coverage
A tractor may be exposed to sudden breakdown, either due to mishandling by the tractor operator, damage caused by external factors (dirt, dust, mud or grease) or malfunction due to defective parts. Breakdown coverage will extend protection to any issue resulting in the tractor’s inability to operate or function and includes the cost for repairs or replacement of parts.
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Non-operation
In the event the tractor can’t be used for your daily business operation you can also include as part of a tractor insurance policy, the non-operation due to disruption from work. Here, the insurer will provide financial assistance for the days your business is unproductive due to the tractor’s breakdown.
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Third party indemnity
Another protection that can be added to your tractor insurance policy is third party indemnity where the policyholder can claim compensation for losses filed by a third party. For example, if you rent the tractor to a third party and encounter loss of earnings due to the tractor’s sudden malfunction or breakdown.
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Cost to rent another tractor
If your tractor isn’t able to perform for a few days or weeks due to major repairs, you may decide to rent another tractor to carry on with your business’ daily routine at the farm or construction site. Tractor insurance can also include rental expenses to cover the cost of renting another unit.
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Sub-limits
A special type of protection coverage you can have as part of a tractor insurance policy is sub-limits coverage. This is where the policyholder can file a claim for property damage caused by flooding or contact of the unit to harmful toxins in the environment like chemicals or pollutants.
Insuring your tractor is one of the surest ways to help you carry on with your business operation without interruption or having the big issue of compensating a third party claim from your personal savings. If you aren’t aware of the ideal tractor insurance protection coverage to buy, I advise you to contact a licensed broker and schedule a private meeting to discuss your concerns. Remember, your tractor is a tangible business asset but is prone to potential damage or temporary shutdown which would promptly bring your operation to a full stop. Be prepared for any unexpected incidents by knowing exactly where you should extend your insurance protection coverage. If you are still in the process of making a decision, ask the insurance provider to create a proposed tractor insurance policy and perform a review. If you find all your protection needs are covered by the proposed tractor insurance, confirm your intention to buy the policy and sign the contract of agreement.
Truck Insurance HQ are brokers that can help you with your Tractor Insurance and any other insurance needs you may have. Call today on 1300 815 344 or request a quote online.