Country Smallholding Magazine March 2017

In March’s Country Smallholding Magazine Farmers & Mercantile were advising smallholders about the implications of business interruption.

The full text of the article is below:

Business interruption – cover your assets… and your income

Insuring your livestock, vehicles and buildings will come as second nature to the vast majority of smallholders. But how many actually consider the implications of business interruption, particularly when this can present itself in a manner few may have considered?

Take for example the smallholder rearing and raising lambs for sale in the late summer. While the farmer’s core flock of ewes and retained rams will likely be covered under livestock insurance, what happens when lambing occurs?

Henry Worthy, of specialist agricultural insurance broker Farmers & Mercantile (F&M), explains, “Typically a smallholder may have around 25 ewes and perhaps two or three rams, and this will constitute their core, retained flock. When lambing occurs this flock will temporarily at least double through spring and into summer.

“The lambs should not be seen as core flock, rather as income as ultimately they will be sold forward come the end of summer. However, should anything happen in the meantime, this ‘potential’ income could be compromised.”

Mr Worthy advises that rather than doubling livestock cover for this temporary increase, smallholders should consider insuring against loss of income through business interruption cover. This can be a cost-effective option that covers against incidences such as lambs being taken, escaping or other such perils.

This example could equally be applied across the smallholding and other farm activities. As one of the UK’s leading independent insurance brokers specialising in agriculture, F&M’s smallholder division offers the best advice and service available in the market. The on-farm team will identify and advise on your key requirements to ensure you have the most suitable cover in place.

Visit www.fandmgroup.co.uk or call 01604 782782 for more details.

country smallholding magazine march 2017