14 January 2016
Farming is one of the oldest industries there is, and in some ways the production of agricultural resources has really changed little in centuries. The basic concepts are the same, it's just the methods we use to carry them out that have evolved.
Keeping up with that evolution should be part of any successful farming venture, from the smallest hobby farm right up to giant commercial operations. When it's time to make a few upgrades to your equipment, you may also need to alter your farm insurance, to reflect the changing value of your equipment.
Why should you upgrade?
As a farmer, you likely don't have to be told how hard the work can be. It doesn't just put a strain on you and your workers, however, but also your farm equipment. That's why it's inevitable that you'll have to repair or replace particular items from time to time.
The cost of new farm technology can represent quite a significant part of your budget. According to IBISWorld, the farm and construction machinery industry in Australia is worth $26 billion annually, and employs almost 26,000 people. It's huge business, and all that expensive equipment will need to be properly covered by farm property insurance.
There are a number of reasons to look at replacing some of your tired old farm equipment, whether it be for compatibility with a new technological standard, improving efficiency and ease of use, or even experimenting with some new technology like soil or crop sensors. Keeping ahead of the curve, while initially expensive, can lead to increased productivity and returns down the line.
Having an appropriate farm insurance policy is essential, especially when you have acquired a large amount of new equipment. Speak with your insurance agent today to ensure you have all the cover your agribusiness requires.