Finding the right general agency in Texas can be a game-changer for independent insurance agents looking to grow their farm, ranch, and agribusiness book.
Texas brings big opportunities but also unique challenges. From regional weather risks to wildfire concerns and high protection class codes, agents need to navigate a complex landscape.
That’s why partnering with a managing general agency that understands how to insure rural clients in Texas—county by county—is essential to growing your book confidently.
Understanding Texas Market Realities
Texas leads the country in farm and ranch production, but it’s not a one-size-fits-all market. Here’s what agents should know:
- Hail and tornadoes: There’s no place with more severe hailstorms. North Texas and the Texas Panhandle also sit at the heart of Tornado Alley, where tornadoes pose a serious threat, especially to older buildings or operations with exposed infrastructure.
- Wildfire and drought: Central and West Texas see regular wildfire threats, often worsened by drought. Ranches in these regions need property protection that accounts for the loss of infrastructure, fencing, and grazing land.
- Hurricane risk tiers: While some markets may write farm and ranch risks in Tier 1 and Tier 2 counties along the Texas Gulf Coast, coverage is often difficult to secure due to heightened hurricane exposure.
- Insurance Protection Class Codes (PPCs): Texas properties are rated using Protection Class Codes, which assess on a scale of 1-10 how well a fire department can serve a given location. Properties in rural or remote areas—common for many farms and ranches—often have higher (worse) codes. This leads to increased insurance costs and stricter underwriting because limited fire protection significantly increases the risk of total loss.
What to Watch For When Working with Texas Ranch Operations
Cattle ranches come with unique insurance needs and underwriting challenges. If you’re placing farm and ranch coverage for these operations, be sure to consider:
- Scheduled property: Barns and outbuildings should be itemized and insured to current replacement value. Be sure to reflect local rebuilding costs to avoid underinsurance surprises at claim time.
- Fencing and infrastructure: Fences are especially vulnerable to wind, fire, and vehicle damage but are often overlooked or undervalued. You’ll need to confirm they’re properly included and scheduled in the coverage package.
- Other activities: Custom farming, custom harvesting, hunting leases, and special events can introduce liability gaps. These activities typically require endorsements or additional protection not found in standard policies.
- Liability risks: Guest injuries, cattle being struck by a vehicle, trespasser incidents, and equipment-related accidents all pose exposure risks. Many scenarios, especially involving recreational or third-party use, are excluded unless specifically endorsed. Make sure to do a thorough risk assessment of the client’s situation.
- Business interruption: Operational disruptions from fire, storms, or equipment breakdowns can create revenue loss. Standard farm and ranch coverage often limits loss of use so review options for broader protection.
- Documentation: Encourage your clients to keep updated inventories of buildings, equipment, and property improvements. This helps streamline both the underwriting process and any future claims.
How Stroud Helps You
What truly sets a managing general agency in Texas apart is how it helps you work more efficiently. At Stroud, we give agents both the tools and the human support they need to succeed.
Here’s what you can expect:
- Direct access to underwriters familiar with the variety of agricultural risks in Texas and experienced in analyzing risks from East Texas to the Panhandle.
- Streamlined tools like our Farm and Ranch Online Quote Request Form and risk specific forms to help you gather the right details the first time
- Responsive guidance that keeps submissions moving and minimizes delays
- Recognition through IIAT: As a time-tested partner of the Independent Insurance Agents of Texas, we’re a trusted market resource for the state’s independent agent community
We also help you quote smarter by providing insight into what our partners are looking for. For example:
- Travelers Agribusiness and Liberty Mutual are well-suited for traditional farm and ranch operations across most of the state but typically avoid coastal Tier 1 and 2 counties and exclude exposures like agritourism.
- ARU offers a non-admitted solution that can step in for hard-to-place risks like older structures, confinement operations, or clients with prior losses—outside of Tier 1 and 2 coastal counties, where they do not write.
This blend of regional expertise, efficient tools, and reliable partners makes Stroud a go-to general agency in Texas.
Ready to Grow with a General Agency in Texas?
Have a farm and ranch risk to quote? The easiest way to get started is by submitting our Farm and Ranch Online Quote Request Form
You can also contact our team with any questions about your next opportunity.