3 Reasons To Insure Your Small Alpaca Farm
Posted on: 22 July 2016
Raising animals as a hobby can quickly turn into a source of revenue for many people. Alpacas are prized for the valuable fibers contained in their coats. Selling these fibers can be a great way to supplement your income, but as soon as you begin to make money from your pet alpacas it's important to recognize that you are running a business.
Here are three reasons why you should be insuring your small alpaca farm in order to protect your financial resources in the future.
1. Commercial insurance protects you during transit.
Having the opportunity to show your animals against other breeders can be a simple way to establish value and create demand for the fibers taken from your alpacas.
While some breeders might think that their personal insurance policies will cover any accidents that occur during transit to and from these shows, it's important that you recognize your personal insurance policy might not cover business-related travel.
By securing a commercial insurance policy, you will be able to access the financial resources needed to pay for damages should you be involved in an accident while traveling for an alpaca show.
2. Commercial insurance protects you from liability when selling products.
If you want to create a buffer between your personal finances and the consumers to which you sell your alpaca fibers, then obtaining a commercial insurance policy is a wise decision.
Many commercial policies are equipped to mitigate your personal liability in the event a product you are selling malfunctions. If your alpaca fibers cause a rash or other ailment after you sell them to the public, you could be sued.
Having a commercial insurance policy protects your personal assets from becoming involved in any lawsuit pertaining to your alpaca farm.
3. Commercial insurance protects the financial investment you make in your animals.
Because their fiber is in demand, alpacas can be worth quite a bit of money. In fact, a quality breeding female can cost a minimum of $12,000. This value makes alpacas a business asset worth protecting.
Commercial insurance policies can be designed to help protect the value of your alpaca herd. This means that you will receive financial compensation in the event one of your animals is stolen, injured, or killed in an accident. /to lean more, contact an agency like Affordable Insurance.
Running a small alpaca farm can be exciting, but it's important to treat your hobby farm as a business if you want to protect the financial investment you have made into your animals. Be sure to ask your agent about a commercial insurance policy that will meet the needs of your hobby farm in the future.
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