Compulsory insurance
Third-party liability insurance (TPL) is mandatory to any person who owns or co-owns a farm. Similarly to other TPL contracts, it protects policyholders against the costs that they may incur as a result of injury to a third party. These are primarily all kinds of accidents that may occur when running a farm, for example, accidents in which people are hurt or damages caused by animals, etc. The farmer also has an obligation of a compulsory insurance of farm buildings from
fire and other accidents.
- Each owner or co-owner of a farm must have a TPL policy
- Liability insurance policy protects, inter alia, farm workers
Liability insurance policy is compulsory for farmers, and hence universal. That is why we will have no problem finding an insuring company which would offer a policy of that kind. The terms and conditions of TPL for farmers (including the compulsory insurance of farm buildings) are regulated by the Compulsory Insurance Act. Thus the scope of the insurer's responsibilities is always the same, irrespective of which company you choose to buy the policy with. For example, the policy concerning the building always protects us from the consequences of hurricane, flood, hail and snow.
- Compulsory TPL insurance for farmers is a common and widely available product.
- Principles of the compulsory liability insurance policy for farmers is regulated by the law
The policy is usually concluded for one year, the premium is paid at once or in installments. If you decide on the latter option, always remember to pay premiums on time. As with other compulsory insurance policies, unless we terminate it at least one day before the contract expiration, the insurance company will extend it for another year. This is of great importance for the continuation of protection of our farm. Whenever possible, notify the insurance company about the change of residence, sale or purchase of a farm.
- The contract is settled for one year and is extended for another, if we do not resign
- We can choose the mode of payment of premiums
In case of liability insurance contracts (TPL) it is the injured, not the policyholder, who notifies the insurance company. This does not mean, however, that the policyholder does not have any responsibilities. The insurer will certainly ask us for explanations regarding the event, we will be also asked to submit the necessary documents.
In case of a farm building damage, we report the damage by ourselves. Remember that, according to the rules, the insured sum (limit of responsibility of the insurer) is established for each farm building separately.
- The injured party shall notify the company about the damage
- On reqest, the insurer should be provided with all necessary explanations