Agricultural Insurance
This information document only specifies the main aspects of the insurance, such as what is included and what is not. It is not an exhaustive list or a personal overview of the insurance that customers choose. The information document has no legal significance and is intended solely to inform customers about the main aspects of the insurance. The insurance summary and detailed information on the applicable contract terms are available on the insurance policy, which can be accessed on Vörður’s My Pages. The terms and conditions of the insurance contain comprehensive information about the insurance coverage and are a part of the agreement between the parties together with the insurance certificate.
What kind of insurance is Agriculture Insurance?
Farm insurance is intended for farmers engaged in traditional farming activities such as sheep and cattle farming. Specialized farming operations must be insured separately, such as fur farming, greenhouse farming, poultry, horticulture, and pig farming.
Movable property insurance covers movable assets such as livestock, hay, feed, tools, and equipment on the farm against fire, and livestock against traffic accidents and electric shock.
Liability insurance, on the other hand, protects the farmer against liability claims that may arise in connection with the farming operation.
What Is Covered?
Loss or damage caused by fire and if feed overheats and/or burns, even if a fire does not break out.
Loss or damage due to storms when the wind speed exceeds 28.5 m/s, if the damage occurs in such a way that the wind breaks or collapses the building in which the insured item is stored.
Loss or damage to insured livestock if it is electrocuted and killed.
Loss or damage to insured livestock if it is killed in a traffic accident, if the damage cannot be compensated by the person responsible for the loss, or from the liability insurance of the vehicle in question.
Liability that falls on the insured that is a direct result of damage to people or property.
Compensation against liability that the insured's employees cause against a third party.
a. Margin loss that the insured person suffers during business interruptions during the insurance period and leads to a decline in meat production caused by a fire, which is liable for compensation from property insurance.
Additional costs incurred by the insured that can be attributed to the fact that the insured's sheepfold or calf rearing house will not be used as a result of a fire that is liable for compensation from property insurance.
What Is Not Covered?
Loss or damage due to fire that cannot be considered accidental, such as damage to objects that are subjected to fire or heat during heating, boiling, drying, ironing, smoking, etc., and which are burned as a result.
Loss or damage to equipment or cables as a result of short-circuit or other solely electrical phenomenon, or electromagnetic induction due to electrical storms.
Storm damage to items located outside.
Loss or damage that the family of the policyholder suffers.
Loss or damage to items borrowed, pledged, rented, stored, transported, sold, processed, repaired, cleaned, installed, or for other reasons held by the insured, their family or their employees.
Loss or damage to items that the insured, their family or theiremployees have taken without permission. Loss or damage to items that the insured has sold but not delivered is also not covered.
Loss or damage caused by an aircraft or vehicle subject to compulsory insurance.
Loss or damage to persons or property for which the insured has the right to be compensated by another insurance.
Loss or damage to property caused by fire, smoke, soot or explosion.
Loss or damage to goods that the insured has delivered or are delivered on their behalf, insofar as there are defects in the delivered goods, shortages, delays in delivery or for other similar reasons.
Property damage caused by explosions, excavation, mudslides, landslides, subsidence or damming.
Loss of gross profit resulting from operational interruptions due to renovations, expansion, lack of financing, government orders, or similar circumstances
Increased operational loss resulting from lockouts and/or strikes
Are There Any Restrictions or Precautionary Rules?
The insured must follow Vörður’s precautionary rules.
If a specific use or activity of the insured property is listed on the certificate and that use or activity changes, the insured or any party entitled under the insurance must notify the company without delay.
The insured must ensure that the arrangements at the insured location fully comply with the rules of applicable laws and regulations at all times, as relevant.
The policyholder must also follow instructions or comments from public supervisory authorities, such as the Fire Authority and the Accreditation Office.
Where Is The Insurance Valid?
The insurance only applies at the location specified on the insurance certificate or renewal receipt. The liability insurance applies within Iceland.
What are the insured's obligations?
Provide all necessary information, whether at renewal or when making changes to the insurance.
Report any damage at the earliest opportunity and no later than within one year from the date of the incident.
When and how is the insurance paid for?
The insurance premium must be paid on the due date. Upon renewal, the annual premium is adjusted in accordance with changes in the index from the base index of the agreement. Vörður sends payment claims monthly to online banking services, or annually if the policyholder prefers to pay the premium in a single installment. It is possible to change the payment method via Vörður's online service, “My Pages.” There, policyholders can also choose to pay premiums using a credit card.
When does insurance coverage begin and how does it end?
Insurance contracts are generally valid for 12 months from the date of acceptance of the offer and issuance of the insurance, and premiums are based on the annual premium. If the insurance is not terminated within that period, it is automatically extended.
How is the insurance terminated?
The insurance can be terminated at any time during the insurance period.