• Tractor insurance can cover perils such as fire, theft, vandalism, collision with another vehicle or an object, etc.

If you have recently decided to purchase a new tractor, you want to know that your investment is protected and that you can replace it with the same tractor if it is rendered unusable by an insured peril. Replacement cost coverage is available for tractors that are less than five years old. This means that if the tractor is destroyed, your insurance carrier will compensate you for replacing it with a new tractor that is the same or similar quality. If your tractor is over five years old, it will be insured for actual cash value, meaning the value of the equipment, taking into consideration depreciation.

Tractor insurance in Ontario is typically insured on a farm machinery & equipment floater. This is basically a type of insurance rider that can be added to a farm insurance policy Depending on the terms of the floater, it offers insurance compensation to repair or replace a tractor that has been damaged, destroyed or stolen up to the coverage limits listed on the policy.

You may have a treasured antique tractor that has been in your family for generations or a new-to-you acquisition that you use for tractor shows, parades, fairs, plowing competitions and the like. Either way, your antique tractor can be insured on an antique tractor policy. To qualify as an antique tractor for the purposes of insurance, the tractor would need to be at least 40 years old and not be used for daily farming purposes. You do not require a farm policy to insure an antique tractor, it can be insured on a stand-alone policy.

Anyone who runs an agricultural operation and uses a tractor for agricultural purposes should have their tractor covered by the right tractor insurance to protect their investment. Ontario farms come in various types and sizes, and most of them utilize a tractor for multiple purposes. A tractor can be one of a farm's most valuable and essential assets.

Insurance for tractors is an essential part of farm insurance coverage because tractors are necessary tools to keep a farm running correctly. If the worst happened and your tractor was destroyed in an incident such as a fire, it could be a struggle to find the funds to replace it immediately. At the same time, going without a tractor is not an option for some farmers. With the right tractor insurance, Ontario farmers can sleep peacefully at night, knowing that they have the coverage to avoid severe financial losses should something happen to their tractor.

Tractors actively used as part of an agricultural operation can be insured on a farm insurance policy. That could mean a tractor that is part of a fleet of farm machinery used on a huge commercial farm or a tractor used on a smaller hobby farm. Tractor insurance is a floater or endorsement added to an existing farm insurance policy to provide specific protection for a tractor.

There are, of course, other types of tractors out there, but they would be covered differently when it comes to insurance. For example, a homeowner with a large acreage may have a small tractor that is used to clear snow on their property, or as a riding lawn mower, would not typically need a farm insurance policy. In that case, their small tractor for personal use can be added to a homeowners insurance policy for coverage under personal property.

A tractor that is under 5 years old qualifies for replacement cost, a new tractor of the same or similar quality. A tractor over 5 years old is insured for actual cash value, which is the depreciated market value.

Plated vehicles do not qualify as farm equipment. Mechanical breakdowns or breakdowns due to operator error are excluded.

Antique tractor insurance applies to tractors that are 40 years old or older and not used for daily farming. It is insured on a standalone antique tractor policy (no farm policy required) and applies to tractors used for shows, parades or plowing competitions.