So I just made my down payment on a new woodmizer lt-35hyd. Woodmizer told me that I need to obtain a physical damage insurance policy because of the fact it will be financed. Either way I figure you can't go wrong insuring a hefty investment.
I was curious who everyone was using to insure their mills. I first struck out with state farm and farm bureau....I then caught wind of (M&A?) a forum sponsor and spoke with DJ. He quoted me $392/yr for a $1000 deductible with $22,000 coverage. Our conversation came to a close and he verified that I lived in NC. He said that NC was the only state within the 50 that assess an extra $117 fee per year. I was wondering if anyone in NC has obtained local insurance and been able to dodge the extra $117 per year. I know its not much to qualm over, but trying to start a family and building my first house, you can imagine a man has to be a little tight.
My farm insurance covers all equipment and the liability associated with operating equipment without that extra fee, including the sawmill (I checked before I signed last spring). But I also have a bona-fide farm in other respects as I raise alpacas for the fleece.
I have no idea of your situation, but maybe this little piece of information might help???
If your mill is used stationary or you travel with it......does that make a difference when it comes to insurance?
Mine is covered under home owners for personal property. However, I only saw for myself. If I saw for a business that would not work and I'd need a different insurance.
M&A insurance told me that there are a lot of folks out there who believe their mills are covered under their home owners policy when in fact they are not, and to read the fine print. I am not implying yours isnt, that is just why I haven't ventured into the homeowners thing. Both Statefarm(who I have my homeowners through) and farm bureau both had to call me back with their answers. Both said that no policies they offer provide coverage for a commercial piece of equipment regardless of whether or not it is only for personal use. I am in somewhat of a funny situation. Woodmizer wants whatever policy I have to be in my name, but the family farm the mill will be located at is technically owned by an LLC made up of family members. I therfore can't tack the mill onto the current commercial equipment insurance the farm has. I just hope this local guy I contacted that farms out policies can help me out
The only time that mine is covered under my home owners insurance is when it's parked in my yard or in my garage!
I checked with the local insurance agent if my mill is covered under my homeowner policy and it is not. I went with M&A as their rate was slightly better then the local insurance, and also DJ knows exactly what the policy covers. The local folks didn't really have too clear of an idea. So my truck is insured by one and the mill by another. The policy I have with M&A does NOT cover my vehicle at all.
Look on the left of the page, there is a company that sponsors this forum that specializes in insurance for forestry.
Getting mill insurance was a real eye opener for me. My homeowners said a flat "no" to a mill. Homeowners insurance basically covers your house and what is in them and liability. Other local companies that advertised that they insured farm and industrial equipment said the same. Info from Woodmizer told me to go with M & A which I did.
Well I think I will just stick with M&A then. I suppose that $42 a month insnt all that bad.
Hunz, I too was told that the mill is not covered under homeowner's. I've got my insurance through a company called Frankenmuth Mutual Insurance Company. (Sounds like another Uncle Si prefix for Franken-cent ... for those Duck Dynasty fans :D). I've got $23,000 coverage on the mill, $2000 for "small/portable tools". Annual cost is $336 with a $500 deductible. (Apologies to our Sponsor ...). I can't comment on the state fee, there is none in IL.
I don't know if you're going to be working out in public, but I also set up my own LLC and got liability insurance, the former to protect personal assets and the latter to protect business assets. It ain't cheap! but I think especially the former is critical to protect your family in case something unthinkable happens. I just included it in my business cost when deciding 1) whether to start in the first place, and 2) what my rates should be.
Congratulations on the new mill!! I've heard there are upgrades since I bought mine (just over a year ago), so I'm really interested what you think of yours! Please keep me/us posted!
Let me know if you want more details on insurance etc above.
Pete
As my mill is portable and required to be registered, it is not covered under my homeowners but under my auto policy. I have called both the national call center and the local office with multiple versions of the question and each time the answer was the same. Hopefully for all of us, this conversation is moot and none of us will ever have the need to actually find out.
i have a farm and have everything through farm and family. i have coverage on all my farm equipment including my house. very good insurance.