Farm loss prevention: How farmers can prepare for risk and minimize damage

Whether it’s a small family farm or a large commercialized operation, farming comes with a host of unique exposures and liabilities. From severe weather that can impact machinery, buildings and livestock, to fuel theft and tractor safety on public roads, farmers live with risk on a daily basis.

For example, when disasters like wildfires spark evacuation orders, farmers don’t just have to worry about their people—they also have to worry about their livestock.

While farmers can’t control the weather—which can range from scorching droughts to hailstorms and tornadoes—there are other factors they can control. Preventive measures can mitigate many of the exposures farmers face, and help avoid property or equipment damage, lost revenue and costly downtime.

Here are some of the most common issues that impact farmers and how to prepare:

Fire safety and farm buildings

One of the biggest risks on farms and ranches is the potential for fire. Barns, outbuildings, sheds and garages are in particular danger, especially if they are full of combustible straw, hay or wood. Hay with an improper moisture content can also spontaneously combust, and should be inspected regularly.

Since farms are typically located in rural areas, it also means there’s a longer response time for fire departments—so by the time they arrive to put out a fire, you may have already experienced substantial losses. Create an emergency plan for your farm that everyone is familiar with.

Space heaters and heat lamps are a top cause of fire in farm outbuildings. Where heat or heat lamps are required, ensure the proper equipment is being installed by a certified contractor.

Farm fire hazards

Hot machinery parked indoors can also be a source of fires. Have a designated parking or staging area set up on your farm that is far from buildings and combustible material. Fuel tanks on the property should be set apart from buildings—a minimum clearance of 40 feet is recommended—and kept clear of debris, to minimize risk of fire or explosion.

Keep your electrical maintenance current

Damaged wiring, overloaded circuits and deteriorating connections can quickly become a source of ignition, sparking a fire. Regularly inspect wires, motors, vehicles and equipment, and heating and cooling systems for frayed wires or worn connectors. Tripping breakers and blown fuses could indicate an electrical problem.

Prevent farm fire damage

If a fire does occur, having an adequate supply of functional fire extinguishers and water barrels on hand can help to lessen the damage. Parking equipment at least 100 feet apart can also help to prevent the spread of fire if a piece of equipment goes up in flames. When it comes to fire prevention, housekeeping should be a top priority—clearing away combustible brush and debris and discarding chemicals appropriately makes a big difference.

Where possible, add smoke and fire detection systems, cameras and electronic monitoring. Electronic monitoring can help identify electrical deficiencies that may prevent a fire loss from occurring.

Practice combine and harvester safety

Fire is a leading cause of loss for farms in general, and it’s also the leading cause of loss for combines—but it can be less of a risk if appropriate measures are taken. Keep equipment clean and in good repair, and conduct regular maintenance before, during and after the harvest.

Regular inspections and maintenance checks should include cleaning any grease or oil residue as well as crop buildup—a pressure washer is highly effective. Check guards and safety devices, and examine the exhaust system for damage and leaks. If you notice any damage to fittings, metal lines, leaking fuel lines, heated bearings or the exhaust system, perform repairs immediately.

A leafblower or air hose can be used to get rid of built-up chaff and dust, which you may need to use several times a day when harvesting particular crops. It’s also a good idea to have leaf blowers and functional fire extinguishers easily accessible on the equipment during harvest time.

Prepare for natural disasters

If your farm is located in an area prone to hail, heavy winds, heavy snow or other extreme weather, check your buildings and structures regularly—particularly the roofs—and look for deficiencies and weaknesses. A deteriorated roof could collapse with a heavy snow load, damaging equipment inside or injuring animals. Ensure buildings are properly maintained and shore up beams and trusses where necessary.

If you’re rebuilding or renovating a structure, it’s a good time to ‘build back better’ with resilient roofing and siding materials. This often requires a more significant investment, but it could pay for itself in extreme weather.

Watch the weather

Getting weather alerts on your smartphone can help you react quickly if a hailstorm or windstorm is approaching—you could have time to store equipment in a shed, get animals indoors, and cover or tie down anything that may cause damage.

Guard your fuel tanks

Most farms have fuel tanks on the property, but leaking tanks could pose an environmental hazard. It’s critical that fuel tanks have been properly installed at a safe distance from any buildings. Consider impact protection to guard against accidental impact from vehicles and equipment.

Double-wall fuel tanks, with a second containment shell around an inner shell, can help to prevent fuel from seeping into the ground. Additionally, theft of fuel is a growing concern, so farmers should lock their tanks when not in use—otherwise, it’s like leaving cash sitting out in the open.

Mitigate livestock property and liability losses

Any damage or deterioration of livestock fencing—such as holes, sagging, vegetation overgrowth or worn-out posts—makes it easy for animals to escape and create safety hazards or liability issues. If a cow wanders out onto the road, it could cause a car accident, and you as the owner could be found liable.

Aside from regularly checking your herds and fences, consider using electronic monitoring and cameras to manage livestock.

Drive farm equipment safely

Third-party liability isn’t limited to roaming cattle. While it can be stressful to drive oversized farm equipment down public roads, farmers do have the right of way. It’s advised not to pull over and let impatient drivers pass, because that’s often when accidents happen—and the farmer could be found liable.

Government training is available in all provinces to help employees and seasonal workers better understand the rules of the road when operating large farm equipment. Keep vehicles maintained, with proper lighting and signage.

Avoid spray drift

Another third-party liability exposure is spray drift—when the excess chemicals from spraying crops drifts to a neighbouring property. If it causes damage to the neighbour’s crops, they could sue for negligence—which could result in lengthy forensic investigations and litigation. This is a particular concern if the neighbour runs an organic farm.

Be mindful of weather conditions. Avoid spraying on windy days, and don’t spray when the ground temperature is warmer than the air temperature—this can cause the spray to rise and hover. Even a slight breeze will carry spray drift several kilometres.

Protect your farm with the right insurance

No amount of prevention can be the entire cure—sometimes, things happen. Insurance can help with the losses, but only if you’re covered properly, and standard insurance policies just won’t cut it for farm operations.

Wawanesa’s Farm Essential Bundle is included with every Your Farm Insurance (YFI) policy and contains comprehensive coverage across a range of farm risks. Additional coverage bundles can be added to the base package so you only pay for the coverage your farm needs. Learn more about Wawanesa farm insurance.