drought, multi-peril income protection, farm insurance, crop insurance, NSW

Why Farm Insurance and Risk Management Still Matter During a Drought

We’re all aware of the severe drought conditions across our great state, and none of us more than our farmers that are weathering the storm (or the lacktherof).

Although many areas enjoyed lovely rain (and some not so lovely hail!) in the past few days, we all know that the effects of the drought will not diminish overnight.

Managing Your Risks Through Mitigation, Farm Insurance & Multiperil Income Protection

As a farmer, you understand risk management and how to throw thousands of dollars out in the paddock and get it back. However, one bad year tests your risk management and decides if you’ll get by or give up.

It’s unhelpful to say that you should ‘make hay while the sun shines’ and invest in drought mitigation during good years. Instead, there are some farmers that are looking at smart ways to invest even when cash flow is low. This is a good article that looks at a farm family that is taking action, doing things like building drought lots, speak to a livestock nutritionist, instal grain silos and bury plastic wrapped grain.

There is also some drought relief funding available, according to the publications on the DroughtHub.

But many farmers find it too difficult to accept handouts or charity and are instead holding out for rain.

We would encourage you to take advantage of available drought assistance, and also take advantage of this time to be putting a plan in place for the short term and also the long term (ahead of the inevitable next drought).

That plan should include your insurance strategy.

Contact GS Insurance to discuss a strategy where you can protect your assets and your livelihood while mitigating the cost where possible.

Defying the drought and thriving in difficult times

The number one important thing to do during this drought is to look after you and your family’s health and wellbeing.

Droughts often increase mental health issues like depression and anxiety in our communities and households.

We need to reach out and check in on each other, and if you are struggling do not hesitate to get support. The NSW Government recently announced that farmers will have access to farmgate counsellors – here is the website to get more information.

Get a farm insurance or crop insurance quote

In addition to multi-peril crop insurance, did you know that we specialise in farm insurance that will protect your machinery, buildings, public liability, fences and stock? Most importantly, your family and your livelihood. Contact us online or call (02) 6892 1050 to talk about your specific situation and get a free, no obligation quote.

General Advice Warning
Please note: The information provided in this article is only general in nature – before making business decisions you should consider seeking advice specific to your situation.