It takes a lot of investment to maintain our house and property. From mowers to tractors, you have likely invested thousands of dollars to help maintain and operate your property. The answer is yes, homeowners insurance will cover tractors, but coverage can be tricky.
Homeowners Insurance Can Cover Tractors, but the Devil Is in the Details
The exact nature of both the cause of damage and the tractor itself determines how much if at all, your insurance will cover. For instance, if your tractor was destroyed inside of a garage by a peril covered by your insurance, you can expect some coverage for it. It’s not just the covered peril that’s a factor, however: the nature of the tractor itself can change the coverage. Policies will only cover rideable machinery if its horsepower falls below a certain threshold. This threshold will change from policy to policy, but typically excludes vehicles that will go above 25 or 30 miles per hour.
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What Perils Are Covered for My Tractor?
Assuming your tractor itself meets the criteria for coverage, then it will fall under personal property insurance. Personal property insurance is the part of your policy that covers damage and compensation for your personal belongings, such as jewelry or tools. Your insurance evaluates claims in terms of perils, which are situations that can cause damage to your property or belongings. The perils covered for personal belongings will vary between different policies, and the degree to which these belongings are covered can change from policy type to policy type.
In general, there are two major policies types: HO-3 and HO-5. Both have to do with covering your house and property, the major difference lies in the extent of coverage. An HO-3 policy will cover your house under any peril except those explicitly listed and will cover your belongings up to a certain amount only if they are damaged by an explicitly named peril on a separate list. An HO-5, on the other hand, will cover your house and your belongings under any peril except those explicitly specified. They also differ in the extent of coverage, with HO-5 policies generally covering more damage than an HO-3 would.
Back to tractors: this means that you have to be wary about what damages your tractor. Homeowners insurance famously won’t cover maintenance, meaning that your insurance won’t cover the cost of replacing worn-out parts on your tractor. The tractor must also be used for home or property maintenance, and things can get very complicated if the tractor becomes damaged while it is off your property.
Your Insurance Won’t Cover Certain Situations Caused by Tractors
For example, if you ride your tractor onto another person’s property, and accidentally damage something, your insurance may not cover you for this scenario. Insurances typically will not cover accidents such as these. They will also not cover damage or harm done to another person caused by the tractor if it is done off your property.
If it is done on your property, then there may be some coverage, however, the extent of the coverage can depend on your specific policy, and whether or not your policy includes personal injury coverage, which more often than not is an extended policy offered alongside your usual policy.
If Your Tractor Meets Coverage Criteria, Then You Must Act Proactively to Ensure Coverage
Your insurance will be far more likely to deny a claim depending on how you use your tractor, and how you maintain your tractor. If you don’t have a place to store your tractor, for example, and so it remains exposed to the elements, then your claim could be denied even if the damage was caused by a covered peril, due to neglect. Your insurance company expects you to maintain your tractor, and if you don’t take clear steps to maintain it, then their coverage will be more limited (but most likely denied). Routinely taking your tractor off your property may also disqualify it from coverage, unless you can prove that any damage it sustains happened wholly on your property while using it to maintain your property.
The bottom line is that the circumstances for tractor coverage can be a bit dicey. There are a lot of factors at play, more than usual, so you have to be careful. If you’re in doubt, get in contact with your insurance provider and talk to them about your tractor and its coverage status.
