I recently had the pleasure of driving through a hailstorm. I was in an early morning fog and it took a few minutes to realize I wasn’t being covered by gravel from the debris of Manitoba construction season, but by stones from the sky. Fortunately, I have a dent resistant vehicle which seemed to enjoy the challenge of returning the stones back to their sender and firing them up into orbit.
Each year we see hail claims on roofs, windows, vehicles, farm buildings and crops. Insurance claims for hail are quite common. When insurers pay out more in claims than they collect in premium, they start looking for ways to become profitable again. Due to the frequency of hail claims, one of the changes we are seeing from some farm property insurers is the addition of a dent clause to policies.
A dent clause changes the coverage provided by a property policy to exclude coverage for cosmetic damage to metal buildings caused by hail, unless the metal exterior of the building (roof, walls) is punctured by the hail. In the event of unsightly dents to your buildings, bins, machinery, etc., the policy would only respond in the event that the stones cause damage that penetrates the exterior covering on these items.
Some insurers are making this new exclusion mandatory, while others are allowing their customers to pay additional premium to remove this clause. Make sure you review your insurance policy to see if the dent clause has found its way into your protection. There are good farm insurance options available in Manitoba, so be sure to speak with your broker to make sure you are getting the best value for your farm.
Would you like to work with an insurance broker who understands your business? Consider making Rempel Insurance Brokers your insurance broker of choice. We work hard to make sure our clients have the resources required to make good decisions on risk.
David Schmidt is an Account Executive at Rempel Insurance Brokers in Morris, MB, specializing in insuring farms and businesses across Manitoba and Saskatchewan. Office (204) 746-2320 Text (204) 712-6618 Email davids@rempelinsurance.com Web www.rempelinsurance.com