Breathing in the fresh country air, reconnecting with nature, working with your hands, escaping the daily grind: these are all good reasons to own woodland. But to ensure that your visits to the forest remain a source of peace and quiet, you must notify your home insurer of this asset! Did you know? To ensure that your woodlot, and therefore your financial assets, are properly protected, Assurances Multi-Risques presents its top insurance tips in this article!
Woodland: the importance of informing your insurance broker
It is essential to notify your home insurer as soon as you purchase your woodlot. Why ? Because it could change the risk for your insurance company! And not all insurers have the same standards and acceptance criteria… Yours may therefore refuse to cover your new purchase. To avoid the unpleasant surprise of an inadmissible claim because you are, without knowing it, not covered for your woodlot, call your insurance agent or broker. We guarantee it will be much more cost-effective!
Therefore, if you earn income from cutting wood, renting land, or even contract work, you must notify your home insurer. Again, not all insurers have the same tolerance for professional activities.
Wood ash: how to protect yourself properly?
Imagine that a child injures themselves on your woodlot by falling from a dilapidated treehouse, or that a friend hurts themselves while chopping wood. If you are not insured, your financial loss could be devastating and jeopardize your financial assets. One of the essential protections to consider when purchasing woodland is civil liability insurance to protect you in the event that you are held liable for unintentional damage caused to someone else. Your home insurance policy generally covers you for up to $2 million. Should this amount be increased? Your broker or agent can help you determine this.
In terms of income, if you generate little or none, your insurer will normally agree to add a special clause (often called an “endorsement”) to extend your liability to your woodlot. However, if your income is too high and your activities resemble those of a farm, you will need to obtain insurance from an insurer that specializes in agricultural insurance.
Of course, there are other factors to consider: do you own a tractor, a garage, farm equipment, or even a cottage? But as with the other items mentioned in this article, you should discuss this with an independent insurance broker who will find the insurer that best suits your needs. And while they take care of your insurance, you can continue to enjoy your little piece of forest with complete peace of mind!