RMA Insurance Brokers
FARM MOTOR & AGRICULTURAL MACHINERY INSURANCE

Farm motor & agricultural machinery insurance for Australian farmers

An accident, rollover, fire or theft can take essential farm vehicles or machinery out of operation when they are needed most. RMA Insurance Brokers helps farmers review how tractors, harvesters, farm vehicles, trailers and attachments are insured, including where and how they are used.

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Farm motor insurance at a glance

Farm motor insurance can combine selected physical-damage and legal-liability cover for the vehicles and agricultural machinery used by a farming business.

Classification, registration, use, values, drivers, attachments and operating locations can all affect where an item sits in the insurance program.

The schedule, wording and any endorsements determine the cover that applies to each asset.

Key areas

  • Farm utes, 4WDs and trucks
  • Tractors and harvesters
  • Self-propelled sprayers and agricultural machinery
  • Unregistered or registration-exempt vehicles
  • Trailers, implements and attachments
  • Legal liability

Who should consider farm motor & agricultural machinery insurance?

This insurance may be relevant for farming and agricultural businesses that rely on vehicles or mobile machinery in their day-to-day operations.

  • broadacre and cropping farms
  • livestock and mixed-farming operations
  • dairy and horticultural businesses
  • farms using tractors, harvesters or self-propelled machinery
  • farms operating utilities, 4WDs, trucks or trailers
  • agricultural contractors or businesses using machinery away from their own property

For a mixed farming business, the motor and machinery exposure often sits alongside Farm Insurance and Crop Insurance, so the program is best reviewed as a whole.

Levels of cover

Insurers may use different names and structures, but farm motor cover is commonly arranged at one of the following levels. The selected cover for each asset should be confirmed from the schedule.

Comprehensive

May cover accidental loss of or damage to an insured vehicle or item of machinery, theft and selected legal liability, subject to the policy.

Third party, fire and theft

May provide selected fire and theft cover for the insured asset together with legal liability, subject to the policy.

Third party property damage only

May cover legal liability for damage caused to other people's property, without covering accidental damage to the insured vehicle or machinery itself.

Vehicles and machinery that can be considered

Policies and classifications vary between insurers. Depending on insurer acceptance and the schedule, insurance may be arranged for the following asset groups.

Farm utes, 4WDs and trucks

Utilities, 4WDs and trucks used across the farming operation can be insured for loss or damage and selected legal liability, subject to insurer acceptance and the schedule.

Registration, carrying capacity, load type and where the vehicle operates can all influence how it is insured.

Tractors and harvesters

Tractors and harvesters often represent some of the highest asset values on a farm and can be insured individually with described values.

Whether they sit in a motor section or a farm machinery section depends on the insurer and the policy structure selected.

Self-propelled sprayers and other mobile agricultural machinery

Self-propelled sprayers, spreaders, telehandlers and similar mobile machinery can be listed with the values and use disclosed to the insurer.

Availability, settlement basis and excesses vary by insurer and are set out in the schedule and wording.

Unregistered or registration-exempt agricultural vehicles

Machinery that is not normally registered for road use can still be identified and insured where the insurer accepts the risk.

The classification applied, and any road-use conditions, should be confirmed rather than assumed.

Trailers and towed implements

Trailers, seeders, headers, bins and other towed implements can be scheduled alongside the vehicles and machinery that tow them.

They are not necessarily insured under the towing vehicle, so each item should be listed with a realistic value.

Attachments, accessories and permanently attached equipment

Front-end loaders, buckets, spray booms, GPS units and similar equipment can be identified so their value is reflected in the insurance arranged.

Where cover is unspecified, per-item and overall limits may apply, so higher-value items are best listed individually.

Classification, attachments and sublimits

A tractor, harvester, truck, implement and attachment used by the same business may sit in different sections of the insurance program, with different conditions and settlement bases.

  • attachments, accessories, permanently attached equipment and unspecified machinery should not be assumed to share the full value of the main vehicle
  • blanket or unspecified cover may contain per-item and overall limits below replacement value
  • higher-value attachments and machinery are best individually identified with realistic values
  • whether equipment is registered, towed, self-propelled, used off-farm or used for contract work can change the classification applied

This is one reason a machinery list is worth reviewing asset by asset rather than assuming every item is insured in the same way. RMA Insurance Brokers can help identify how available insurers classify the vehicles and machinery used by the farming business.

When motor liability and working machinery can differ

Motor legal liability may not respond while an agricultural vehicle or item of machinery is operating as a tool of trade, including activities such as spraying, harvesting, ploughing, lifting, pumping or similar mechanical work.

This can differ from travelling, transit or transport use. Liability arising from the working operation may need to be considered under Farm Insurance or another liability policy.

Definitions and exceptions vary between insurers, so the motor and liability policies should be reviewed together.

Unregistered machinery on public roads

  • an unregistered or registration-exempt agricultural vehicle may require a permit or other legal authorisation when using a public road or public property
  • property-damage liability may depend on the registration or permit requirements being met
  • compulsory third party or equivalent statutory injury insurance is separate and varies between Australian jurisdictions
  • road use and crossings between paddocks must be disclosed and confirmed rather than assumed

Features that may be available

Depending on the insurer, selected cover and the asset involved, a farm motor policy may offer additional benefits such as:

  • temporary cover for eligible newly acquired or replacement equipment, subject to notification requirements
  • replacement benefits for eligible newer vehicles or agricultural machinery
  • towing, emergency repairs, journey completion or temporary-hire costs following an accepted insured event
  • consideration of a nominated repairer, subject to the insurer's agreement before repairs begin
  • limited cover for specified personal effects, tools, accessories or goods carried

These benefits are not available under every policy and may be subject to separate limits, excesses and conditions. They should be confirmed from the schedule and wording.

Goods carried and dangerous goods

Any allowance for goods carried may be restricted, linked to an accepted vehicle claim and subject to a separate limit or excess.

The full value of grain, livestock, produce, equipment or other goods should not be assumed to be insured because the carrying vehicle is covered. Transit & Cargo Insurance may need separate consideration.

Dangerous-goods transport may attract different liability limits, conditions or exclusions, and compliance with transport laws and policy requirements should be confirmed.

When should farm motor insurance be reviewed?

Farm motor and agricultural machinery insurance should keep pace with changes to the equipment and the farming operation. A review is particularly worthwhile:

  • before harvest or another high-use season
  • purchasing or replacing a vehicle or item of machinery
  • materially changing values
  • adding implements, attachments or permanently attached equipment
  • modifying a vehicle or machinery
  • adding younger, newly licensed or different regular drivers
  • beginning contract work, hire, contract harvesting or work away from the farm
  • beginning public-road use or regular road crossings
  • carrying dangerous goods or materially changing what is transported
  • after a significant claim or change in ownership, finance or lease arrangements

What may not be covered?

Every farm motor and agricultural machinery insurance policy contains exclusions, limits, conditions and excesses.

Additional excesses may apply when a vehicle is driven by a younger or inexperienced driver, on top of the standard excess. The applicable driver definitions and excess amounts vary between insurers and should be confirmed from the schedule.

Depending on the policy, cover may not apply to:

  • wear, deterioration and gradual damage
  • internal mechanical, electrical, electronic, hydraulic or structural breakdown unless separately insured
  • pre-existing damage or known defects
  • vehicles, machinery, attachments or modifications not declared or accepted
  • use outside the activities or locations disclosed
  • unlicensed, excluded or unauthorised drivers or operators
  • liability arising while equipment performs tool-of-trade operations where excluded
  • sublimits applying to unspecified machinery, accessories, attachments or goods carried
  • road use where legal registration, permit or policy requirements have not been met
  • dangerous-goods transport outside policy or legal requirements

This is not a complete list. The policy schedule, wording and endorsements should be reviewed to understand what is insured, the limits and excesses that apply, and the conditions that must be met.

Example: damage to a self-propelled sprayer

Illustrative example

A broadacre farming business operates tractors, a harvester and a high-value self-propelled sprayer across several properties.

During a high-use period, the sprayer rolls over and suffers significant damage. An attachment is also damaged.

The claim assessment considers the selected cover, how the sprayer and attachment were classified and listed, insured values, the cause of damage, the operator and the applicable excesses.

The insurer determines whether the machinery will be repaired, replaced, treated as a total loss or otherwise settled under the policy. Towing, temporary-hire costs or a nominated repairer may also depend on the wording and insurer approval.

Reviewing machinery values, attachments, operators and policy benefits before harvest or another high-use period can help identify gaps before a loss occurs.

Example provided for general illustration only. Policy coverage and the amount of any claim depend on the insurer, policy wording, insured values and circumstances of the loss.

Why RMA Insurance Brokers?

Farm motor insurance involves more than maintaining a list of registration numbers. The type of machinery, insured value, registration status, attachments, use and classification within the program can all affect the cover arranged.

RMA Insurance Brokers can help you:

  • review vehicle and machinery schedules
  • identify new or replacement equipment
  • check asset descriptions and values
  • distinguish registered vehicles, unregistered machinery, attachments and implements
  • review road use, contracting, hire and tool-of-trade activities
  • approach suitable insurers and explain available policy structures
  • manage renewals and policy changes
  • assist with claim notification and insurer communication

The insurer assesses the circumstances and makes the coverage decision. RMA Insurance Brokers' role is to assist the client through the process and advocate for their interests where appropriate.

Information that helps us get started

  • current policy schedule and renewal date
  • make, model, year and asset description
  • registration number, serial number or other identifier
  • current value and settlement basis where known
  • normal use, locations and public-road use
  • regular drivers or operators, including younger or newly licensed drivers
  • trailers, implements, attachments and modifications
  • claims history, finance arrangements and planned changes

RMA Insurance Brokers will use this information to understand the asset schedule, clarify how equipment is used and identify what further information insurers may require.

Contracting, hire, contract harvesting or work away from the insured farm should be disclosed. These activities may affect whether an insurer accepts the risk, the terms or premium offered, the policy section used or the response to a claim.

RMA Insurance Brokers works with farmers, agribusinesses and regional businesses across Australia. We also work closely with rma network Livestock & Property Agents, providing connections with agricultural businesses and farming communities throughout regional Australia.

Our services are not limited to rma network Members or any particular region. Farmers and agribusinesses across Australia can contact RMA Insurance Brokers for farm motor and agricultural machinery insurance assistance.

Frequently asked questions

What is the difference between comprehensive, third party fire and theft, and third party property damage cover?

Comprehensive cover may insure accidental loss of or damage to the insured vehicle or machinery, theft and selected legal liability. Third party, fire and theft may provide selected fire and theft cover for the insured asset together with legal liability. Third party property damage only covers legal liability for damage caused to other people's property, without covering accidental damage to the insured item itself.

Insurers use different names, structures and definitions, so the level of cover selected for each asset should be confirmed from the policy schedule and wording.

Can unregistered agricultural vehicles be insured and used on public roads?

Insurance may be available for eligible unregistered or registration-exempt agricultural vehicles, subject to insurer acceptance and the policy.

Using such a vehicle on a public road or public property may require a registration exemption, permit or other legal authorisation, and property-damage liability may depend on those requirements being met. Road use and crossings between paddocks should be disclosed and confirmed rather than assumed.

Compulsory third party or equivalent statutory injury insurance is separate from property and liability insurance, and the arrangements vary between Australian states and territories. The position should be confirmed for each vehicle and jurisdiction.

Are attachments and unspecified farm machinery automatically covered?

Not necessarily.

Attachments, implements, accessories and permanently attached equipment may need to be individually identified with realistic values, or included within the insured value of the relevant machinery.

Where blanket or unspecified cover is provided, per-item and overall limits may apply that sit below replacement value. The schedule and wording should be checked for each asset.

Does farm motor insurance cover machinery breakdown or liability while machinery is working?

Internal mechanical, electrical, electronic or hydraulic breakdown is commonly outside farm motor damage cover unless it is separately insured, so machinery breakdown insurance may need to be considered.

Liability arising while an agricultural vehicle or item of machinery operates as a tool of trade, such as spraying, harvesting, ploughing, lifting or pumping, may also be excluded from motor legal liability. That exposure may need to be reviewed under Farm Insurance or another liability policy.

Definitions and exceptions vary between insurers, so the motor and liability policies should be reviewed together.

What happens if I need to make a farm motor insurance claim?

If an incident occurs, contact emergency services where required and, where safe, take reasonable steps to protect people and property and prevent further loss.

Any insurer emergency or claims contact shown in the policy documents may be used, and you should contact RMA Insurance Brokers as soon as reasonably possible. We can help notify the insurer, identify the information requested, communicate with the insurer and help you understand the claim process.

The insurer assesses the policy response and makes the claim decision based on the policy wording and circumstances.

For emergency claims assistance outside business hours only, contact Brendan Kelly on 0411 013 178 or Brad Hubble on 0409 419 487.

Get in touch

Review your farm motor insurance

Farm vehicles and agricultural machinery change over time as equipment is purchased, replaced, modified and moved between operations.

Whether you are reviewing an existing policy, purchasing new machinery or checking whether your vehicle schedule still reflects the farming business, RMA Insurance Brokers can assist.

Request farm motor insurance assistanceCall 1300 650 254Email us

The information on this page is general information only and does not take into account your objectives, financial situation or needs. Cover is subject to the terms, conditions, limits and exclusions of the relevant policy. Insurance products and available cover vary between insurers. Please review the relevant policy documentation and obtain advice appropriate to your circumstances before making a decision.