David Murchie from H&H Insurance Brokers answers your insurance questions, from property cover, to business interruption.
How do I know if I have adequate insurance cover for my property?
It’s really important that your insurance is an accurate reflection of your home and property, so if you have bought extra livestock, a new vehicle or opened a campsite, it needs to be on your policy. If you use a broker, they will be able to advise you on the best cover for you and ensure you have the necessary protections in place. Underinsurance, where buildings may cost significantly more to rebuild than what they are actually insured for, has become more common in recent years, largely due to rising cost of building materials. Ensuring you have an up-to-date accurate valuation of your property can help avoid this.
I’m planning on turning an outbuilding on my property into holiday accommodation this year. What do I do about insurance?
Diversification on rural properties is becoming increasingly popular and a great way of generating extra income. From an insurance perspective, any new enterprise will be in addition to your existing policy and needs to be insured as such. You also need to ensure that any guests staying on your property are kept as safe as possible and any potential risks are mitigated. Putting in place clear signage which states any areas which are off-limits will help ensure that visitors do not put themselves at risk by coming into contact with working machinery, potentially dangerous livestock, or chemicals. Public liability insurance is essential to ensure both you and anyone who is in contact with your property are protected against any potential risk.
What do I do if I am unable to operate my new business for some reason?
Business interruption insurance is an additional optional cover which protects your business against loss of income during periods when you cannot carry on as usual due to an unexpected event such as a fire, flood or storm. It covers the revenue lost if you are forced to shut down your business unexpectedly and aims to make sure that you remain in the same trading position as you were before the incident occurred. Ultimately, it gives you peace of mind that your hard work and investment will be protected.
David Murchie (pictured) is Head of Agriculture at independent insurance broker, H&H Insurance Brokers. The firm specialises in agricultural and rural insurance and offers a Smallholder Protect policy aimed at farms of 50 acres or less. For more information visit www.hhinsurancebrokers.co.uk
This content was taken from the January 20245 edition of The Country Smallholder, available to buy here.
