Commercial Agribusiness Insurance
Commercial Agribusiness Insurance for Complex Agricultural Operations
Stroud National Agency, Inc. helps independent insurance agents place specialized coverage for complex commercial agribusiness risks.
Commercial agricultural accounts often involve more than a single property or straightforward business exposure. Production schedules, specialized equipment, commodity values, transportation, seasonal activity, employees, multiple locations, and contractual obligations can all affect how an account should be presented to an underwriter.
For independent insurance agents, a well-developed submission can make a meaningful difference when placing these risks. Details such as the insured’s operations, locations, equipment values, loss history, safety practices, peak seasons, products handled, and relationships with customers or suppliers help underwriters understand the account as a whole rather than evaluating isolated pieces of the business.
Program at a Glance
Our commercial agribusiness program is written with Chubb Agribusiness and carries a $25,000 minimum premium per account, so it’s best suited to established or growing agricultural businesses. It’s available in all 18 states we serve, though Texas accounts must be at least 75 miles inland from the Gulf Coast.
Eligibility Quick Facts:
- $25,000 minimum premium
- Texas accounts must be at least 75 miles inland
- 45-day minimum lead time
- 60–90 days preferred
- Prohibited classes apply
- Our FAQs Can help!
Have Questions About Commercial Agribusiness Insurance?
What does Stroud National mean by “commercial agribusiness,” and which types of risks are the best fit?
Commercial agribusiness refers to businesses that manufacture, process, store, distribute, or sell products and services for the agricultural industry rather than traditional farm and ranch operations with dwellings and scheduled farm property.
Best-fit accounts typically:
- Have manufacturing, processing, distribution, storage, retail, or service exposures tied to agriculture.
- Do not have a traditional farm or ranch as their primary exposure.
Examples include:
- Feedlots
- Diversified cooperatives
- Grain, feed, seed, and fertilizer operations
- Farm supply stores
- Livestock feed manufacturers
- Grain dealers and seed merchants
- Agricultural packing, storage, and processing operations
This program is not intended for risks whose primary exposure is a traditional farm or ranch, which are better suited to Stroud National’s dedicated farm and ranch markets.
What does the commercial agribusiness coverage package typically include?
Chubb’s commercial agribusiness insurance can combine property, casualty, and specialty coverages into a coordinated package.
Key coverage options include:
- Property: Buildings, business personal property, computers, mobile equipment, stock, and business income.
- Casualty: General liability and commercial auto.
- Workers’ compensation: Where available.
- Umbrella: Limits up to $2,000,000.
- Equipment Breakdown coverage.
Many accounts can also access enhanced “Plus” endorsements on property, general liability, and auto to broaden important terms and sub-limits.
Are there built-in specialty coverages commercial agribusiness clients should know about?
Yes. Eligible Commercial Agribusiness quotes from Chubb Agribusiness and Stroud National can include built-in specialty coverages designed for modern commercial agribusiness exposures.
Built-in enhancements can include:
- Product Withdrawal: Coverage for certain withdrawal expenses and related crisis-management support.
- Agriculture Premises Pollution Liability: Options addressing certain gradual and sudden pollution events involving fertilizers, chemicals, and other agricultural materials.
- Employment Practices Liability (EPL): Coverage addressing allegations such as wrongful termination, discrimination, harassment, and retaliation.
- Information Security / Cyber: Coverage that can address security breach liability, data restoration, business income and extra expense, breach response costs, public relations support, and certain cyber-extortion threats.
These coverages can help agents provide broader protection without relying entirely on multiple separate monoline policies.
Are there restricted or prohibited commercial agribusiness classes I should be aware of?
Yes. Chubb’s commercial agribusiness program includes both restricted and prohibited classes.
Restricted classes include:
- Aquaculture (fish farms)
- Light food processing
- Livestock auction barns
- Dairy
- Turf farms without installation
- Cotton gins for casualty only
- Organic fertilizer
Restricted risks receive greater underwriting scrutiny, so complete and well-documented submissions are especially important.
Prohibited classes include:
- Haul-for-hire transportation and 100% fuel cooperatives
- Poultry and hog confinement
- Slaughter operations
- Pet food and certain specialty feed manufacturing
- Peanuts and certain processing or energy risks such as biodiesel and ethanol plants
- Chemical fertilizer manufacturing
- Heavy agricultural construction and erection
- Implement or equipment dealers and manufacturers
- Irrigation repair and service
What is needed to quote a commercial agribusiness account through Stroud National and Chubb, and how far in advance should I submit?
Lead time:
- Submit at least 45 days before the policy effective date.
- 60–90 days is preferred because of the level of underwriting detail and potential follow-up involved.
A typical submission package includes:
- Completed ACORD applications for all requested lines.
- Any required Chubb Agribusiness supplemental applications.
- A statement of values for each building, including year built, construction, square footage, and occupancy.
- Three to five years of currently valued loss runs.
- A drivers list and workers’ compensation experience modification worksheet, where applicable.
- Photos or diagrams as appropriate.
- Expiring and target premiums by line.
Depending on the account, underwriting may also request a narrative describing the operation, current financial statements, and information about stock and transportation exposures.
Helping Agents Present Agribusiness Risks Clearly
Agribusiness accounts can change significantly as an operation grows, adds locations, introduces new processes, purchases equipment, or expands into additional services. Reviewing those changes before renewal or submission can help identify exposures that may otherwise be overlooked and give the underwriting market a clearer picture of the operation.
Which program fits an account depends on what the operation does. Ag-related businesses like feed stores, farm supply stores, and cooperatives belong in this program rather than on a farm and ranch policy or in our small business commercial markets, which have no appetite for ag exposures. Working farms and ranches belong in our farm and ranch markets. As a farm or ranch takes on more, though, such as custom work or direct sales, it can start to look more like a commercial operation. When in doubt, our underwriters can guide you.
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