Image of a tractor harvesting a crop.

Why You Need Peak Season Coverage

Updated January 1, 1 . AmFam Team

Peak season coverage for the farm or ranch can scale up or down depending on your operation’s needs. Take a look at these key tips to getting peak season insurance right.

Because it’s vital to have temporary insurance above your policy’s stated farm personal property limit at certain times during the year. With it, your inventory will be covered by an additional amount that you specify to help protect your operation from loss during a stated period of time.

From the stored seed and fertilizer for spring planting to holding grain onsite during the fall harvest, the value of your farm can fluctuate for many reasons throughout the year. Even though you can get coverage for these higher values when your farm’s at its busiest, there are ways to plan for your peak season to help keep you focused on the task of planting and harvesting. So before your busy season begins, connect with your agent and estimate your coverage ahead of time. Here’s how this added coverage can help protect your operation.

What Is Peak Season Insurance?

It’s extra insurance that farmers can buy to cover a period of time when the overall value of the farm inventory is higher than normal. Your farm’s inventory surges typically before planting season begins and after harvest. It’s during this specified time period when this coverage kicks in. Because this endorsement is only active when your farm’s value is at its peak, you can save money on premiums and won’t have to pay a higher rate for the entire year when your commercial agribusiness insurance policy is active. Here are a few other things to know about peak season insurance.

Remember to plan ahead. During peak season, your farm is going to be very busy. And with all that needs your attention, it can really pay off to plan in advance. So, get in touch with your agent when you have time — maybe during the winter months — and plan out your coverage so you don’t have to make those changes during the busy days.

Know your peak season periods. This coverage will only be active to protect your farm inventory during the date ranges that you specify. And getting the date range just right can be a trick. The best way to approach this is to review when your inventory has peaked in the past. Look at your files from the past five years and chart the start and stop dates for planting and harvesting.

Remember to include date ranges that cover the time your seed, insecticide, fertilizer and other costly items first arrived. Also take into account the end dates when your grain shipped from the storage bins. Pad your estimates so that you’ll be covered if your seed arrives late this year or if grain storage is extended because of early snowfall or other reasons that force you to store it until prices climb higher.

Peak Season Endorsement for Livestock

As herd sizes shift across the year, your coverage can be adjusted to match the value of the livestock at your farm or ranch. And peak season insurance can play a key role here as well. By increasing coverage during birthing season and decreasing your coverage when selling livestock, you can more carefully control the amount you pay for insurance. And by managing that protection as your herd’s value shifts across the year, you may find you’ve got more cash on hand to point toward other projects or investments.

At American Family Insurance, we know the value of custom-building a policy that fits your farm or ranch well. That’s why we offer a wide variety of optional farm and ranch insurance protection. Our highly-experienced agents are trained to guide you through the process and help you make the most of your insurance dollars by finding ways to bundle products and save you even more money. They’ll work to specifically create a plan that carefully insures your operation all year long. Contact your agent (Opens in a new tab) to review our many coverage options available to farm and ranch owners today. You’re going to find we’ve got exactly what you’re looking for.

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