Insurance?

milanmark

Member

Equipment
B2601, Bucket, Grapple, Brush hog, stump bucket is ordered!
Jul 7, 2021
80
40
18
Milan, MI
I’m buying a B2601 and paying cash… do you guys still buy insurance? The Kubota insurance seems to be geared to the financing like other things, cars homes etc… since I will own it outright trying to decide if I need any…
it will be stored in my pole barn at home and mostly used at my 20 acres which is 30 miles away. So will be transporting it whenever I use it out there…
What do you think and if buying insurance what kind of coverage?
thanks for the input…
 

PaulL

Well-known member

Equipment
B2601
Jul 17, 2017
2,434
1,363
113
NZ
Three questions:
- do you insure things like your car?
- if you broke it, could you afford to fix it, or would that be a cashflow crisis for you?
- are you covered for third party liabilities if you hurt someone else or damage someone else's property?

Insurance is to cover you against losses that would otherwise be a problem for you. If breaking your tractor means your significant other is annoyed with you, and you need to not upgrade your truck for an extra year, then don't get insurance. If breaking your tractor means your kids can't eat so that you can pay to fix it, you should insure it. And (in the USA) you need some sort of liability cover - which you may already have in another insurance policy (I can't follow the way some of that works, it's not how things work in my country)
 
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GSD-Keegan

Well-known member

Equipment
B2601 with Fel and Bh70 backhoe
Mar 6, 2021
611
808
93
Ontario, Canada
I’m in the same boat. I’m in Canada. Paid cash for my 2601 and accessories and implements. Also paid cash for a zero turn mower. Im just over 50,000 total. My homeowners covers up to 10,000. Tractor will never leave my property. I checked into additional insurance. For the tractor and mower it’s going to cost me about 45 bucks a month. The tractor alone would be about 20 bucks a month. Insurance would basically cover fire theft and things like a tree falling on it. Wouldn’t cover any stupidity damage I might do like the Kubota insurance would. 20 bucks a month doesn’t seem like much….but I’m kinda tired of paying extra this, extra that, over the many years I have had insurance and haven’t made any claims. I haven’t signed on yet, but I may…
 

NCL4701

Well-known member

Equipment
L4701, T2290, WC68, grapple, BB1572, Farmi W50R, Howes 500, 16kW IMD gen, WG24
Apr 27, 2020
2,790
4,231
113
Central Piedmont, NC
I’m in the US but not in Michigan. Laws and insurance policies vary a good bit state to state.

If you had a car worth what your tractor is worth would you insure it for damage to the car? If yes, you should probably insure the tractor. If no, probably not.

Liability coverage is something you really need. Remember your maximum loss on the tractor is the value of the tractor. Your maximum loss on liability is virtually unlimited.

It is possible you have a Homeowner policy that provides coverage but that depends on what you have now, what you use the tractor for, and where you use it.

Bottom line, I would strongly suggest sitting down with an insurance agent in your area who has experience insuring equipment to figure out your options and decide what insurance you want to buy or not buy.

BTW, I paid cash for mine also and dealer didn’t even mention KTAC. I have the tractor and implements on a stand-alone policy for about $300/yr for around $40k coverage. A $6/yr endorsement on my homeowner policy covers it for the $1M liability already on the homeowner policy and brings it under my existing $2M umbrella. I thought that was good use of $6/yr.
 
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milanmark

Member

Equipment
B2601, Bucket, Grapple, Brush hog, stump bucket is ordered!
Jul 7, 2021
80
40
18
Milan, MI
Three questions:
- do you insure things like your car?
- if you broke it, could you afford to fix it, or would that be a cashflow crisis for you?
- are you covered for third party liabilities if you hurt someone else or damage someone else's property?

Insurance is to cover you against losses that would otherwise be a problem for you. If breaking your tractor means your significant other is annoyed with you, and you need to not upgrade your truck for an extra year, then don't get insurance. If breaking your tractor means your kids can't eat so that you can pay to fix it, you should insure it. And (in the USA) you need some sort of liability cover - which you may already have in another insurance policy (I can't follow the way some of that works, it's not how things work in my country)
You sound like a school teacher or something? LOL Anyways how do you like the B2601? I'll be glad when I get mine, originally was going to get a BX2680 but this one was supposed to come in first and I said I would take it... I really like the LX2610 but don't think I need that much tractor....
 

JimmyJazz

Well-known member

Equipment
B2601
Aug 8, 2020
1,219
739
113
Pittsburgh, Pa
I financed a B2601 thru Kubota a few months back and they required insurance be placed on it. I added a rider to my homeowners insurance policy that satisfied them for $100 per year. Within 5 hours of ownership I have bent up hydraulic lines on the loader and also a front wheel on the mowing deck. They still function but are noticeably bent. Had I insured with Kubota it would have been repaired with perhaps a small deductible. If I could turn back time 3 months I would have gotten the Kubota policy. If this is your first tractor I would suggest the Kubota policy until you are accustomed to using the machine. I have found its pretty easy to damage a tractor even when used in a suburban setting. The B2601 is a powerful little tractor. Good luck and be careful.
 

BigG

Well-known member

Equipment
l2501, FEL, BB, Rotary cutter, rake,spreader, roller, etc. New Holland TL80 A
Sep 14, 2018
1,951
770
113
West Central,FL
I’m buying a B2601 and paying cash… do you guys still buy insurance? The Kubota insurance seems to be geared to the financing like other things, cars homes etc… since I will own it outright trying to decide if I need any…
it will be stored in my pole barn at home and mostly used at my 20 acres which is 30 miles away. So will be transporting it whenever I use it out there…
What do you think and if buying insurance what kind of coverage?
thanks for the input…
If you are able to to buy the tractor with the 0% and keep your money in your pocket that is what I would do. As long as there is a note on the tractor you will have the Kubota insurance. From what I understand the insurance is good coverage. Park the money in a money market account with autopay and you have little to worry about.

Yes, they will make a little money but you will get good tractor coverage. Yes, I understand some of us were taught to pay cash but in this case the payments bring the good insurance at a good price.
 

PaulL

Well-known member

Equipment
B2601
Jul 17, 2017
2,434
1,363
113
NZ
You sound like a school teacher or something? LOL Anyways how do you like the B2601? I'll be glad when I get mine, originally was going to get a BX2680 but this one was supposed to come in first and I said I would take it... I really like the LX2610 but don't think I need that much tractor....
Nah, not a school teacher. I am just very careful on giving people advice on things like insurance because I know my situation is very different than other people's. I don't have insurance on my tractor because I don't use it to make a living, it's more a hobby/toy. And if I break my toys I go without until I can afford a new one, or I fix it myself. And in NZ we really don't have the concept of public liability that you have in the US.

I like my B2601 a lot, and I had a BX before the B2601. You made the right choice - I believe that there are relatively few situations where a BX is better than a B2601. They're basically the same footprint on the ground, but the B is quite a bit taller and quite a bit more capable. The BX is the gateway drug for people who were getting a ride on - it's kind of ride on sized, and your wife isn't going to look at you sideways when you bring it home and say "hey honey, I bought a ride on." But other than that, it's compromised in lots of ways.

For me the LX would have been too big. It's at the point where the neighbours would be whispering about me as I mow my 1 acre with it. (If they're not already whispering about my B2601). Having said that, I do pull the boat with it, and mow the local community land, so that justifies it a bit more. Also, the LX would have been a 72 inch deck, and when I built my shed I built it with a B in mind - a 72 inch deck won't go through the door without substantial remodelling.

The B is far easier to get the mower deck off than the BX. The mechanism is basically the same, but the extra height makes it massively easier. I was really surprised at that improvement. I have the pin on bucket (that's all you can get in NZ), and swapping bucket for forks is a pain in the rear. I have a pin-on quick attach on order to fix that, but in the US you'd obviously get the SSQA. You also get the flat face couplers/single lever hydraulic detach. I really really wanted that, but you can't get it in NZ. Taking the pioneers on and off is fiddly and annoying. I always take the loader off when mowing (ever since I put a hole in the side of the house with the BX when mowing - but it also makes it a lot more comfortable to ride - less pitching over bumps), and I usually take the mower off when doing loader work (so I'm not dragging it through the mud, and makes it easier to get around the back of the house - it's a tight space and the mower is wide enough to make it annoying).

The other really big difference is the 3 speed transmission. I drive to the community land I mow, and the B2601 goes nearly twice as fast as the BX. It matters - it feels like the difference between a fast walk and faster than I could run. Driving anywhere on the BX was painful. Lots of people feel that way on the position control on the 3pt, personally that's not a big deal for me, but I don't do a lot of ground engaging work - with a box blade the position control would matter.
 
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TomRC

Active member
Jun 16, 2020
160
106
43
KY
I paid cash for my B2601 and Landpride quick hitch, tiller, pallet forks, bush hog and box blade last September. Took out a KTAC policy on everything at the time of purchase. Ironic as my KTAC renewal came in the mail today. MUCH better coverage than homeowners / farm policy. About $30 per month, $250 deductible for coverage of just about everything you can imagine. No brainer!
 
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fried1765

Well-known member

Equipment
Kubota L48 TLB, Ford 1920 FEL, Ford 8N, SCAG Liberty Z, Gravely Pro.
Nov 14, 2019
7,843
5,066
113
Eastham, Ma
I’m in the US but not in Michigan. Laws and insurance policies vary a good bit state to state.

If you had a car worth what your tractor is worth would you insure it for damage to the car? If yes, you should probably insure the tractor. If no, probably not.

Liability coverage is something you really need. Remember your maximum loss on the tractor is the value of the tractor. Your maximum loss on liability is virtually unlimited.

It is possible you have a Homeowner policy that provides coverage but that depends on what you have now, what you use the tractor for, and where you use it.

Bottom line, I would strongly suggest sitting down with an insurance agent in your area who has experience insuring equipment to figure out your options and decide what insurance you want to buy or not buy.

BTW, I paid cash for mine also and dealer didn’t even mention KTAC. I have the tractor and implements on a stand-alone policy for about $300/yr for around $40k coverage. A $6/yr endorsement on my homeowner policy covers it for the $1M liability already on the homeowner policy and brings it under my existing $2M umbrella. I thought that was good use of $6/yr.
A company called "Inland Marine" is frequently used for stand alone equipment insurance in the USA.
 

fried1765

Well-known member

Equipment
Kubota L48 TLB, Ford 1920 FEL, Ford 8N, SCAG Liberty Z, Gravely Pro.
Nov 14, 2019
7,843
5,066
113
Eastham, Ma
I thought that your attitude to insurance plays an important role here. if you insure everything, including your house, your life and property, then you probably want to insure your tractor as well.
Insurance agents/brokers will try to sell you insurance for everything.......maybe even for a loaf of bread?
 

Donystoy

Active member
Lifetime Member

Equipment
LX2610HSDCC, B/H, Loader, plus numerous other attachments. B7200 sold
Dec 10, 2013
566
217
43
Binbrook, Ontario
I only insure my tractors and equipment for fire, theft, liability and upset when hauling on the highway.
 
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555

Member

Equipment
B2601
Sep 15, 2022
45
88
18
Ontario
I’m buying a B2601 and paying cash… do you guys still buy insurance? The Kubota insurance seems to be geared to the financing like other things, cars homes etc… since I will own it outright trying to decide if I need any…
it will be stored in my pole barn at home and mostly used at my 20 acres which is 30 miles away. So will be transporting it whenever I use it out there…
What do you think and if buying insurance what kind of coverage?
thanks for the input…
Hello I bought my B2601 in June this year. When we asked about insurance, my insurance broker asked how many HP. According to the Canadian B2601 brochure it is listed at 24.3, the insurance said that it will be covered under my homeowners policy, all I had to do was raise my coverage to cover the tractor and it was only a few dollars. According to my insurance company if the tractor had of been 25 or more HP then it has to have a separate policy with its own premium and higher rate. Kind of makes you wonder if the manufactures make the HP ratings for such purposes, I have seen HP ratings for this tractor all over the map. Hope this gives you some info. THKS
 

fried1765

Well-known member

Equipment
Kubota L48 TLB, Ford 1920 FEL, Ford 8N, SCAG Liberty Z, Gravely Pro.
Nov 14, 2019
7,843
5,066
113
Eastham, Ma
It is a type of policy, not a company!
A COMPANY called.... "Inland Marine".... SPECIALIZES in writing equipment coverage POLICIES.
I had a policy of theirs on my TLB for the 1st year I owned it.
 
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Henro

Well-known member

Equipment
B2910, BX2200, KX41-2V mini Ex., Beer fridge
May 24, 2019
5,781
2,965
113
North of Pittsburgh PA
20 years ago I bought my B2910 for cash and never regretted not having anything other than what my homeowners insurance covered. Never insured my BX2200 either...

Like the OP my tractors are kept at my home. If kept remotely might be a different story, but does not apply to me...or the OP apparently.
 
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fried1765

Well-known member

Equipment
Kubota L48 TLB, Ford 1920 FEL, Ford 8N, SCAG Liberty Z, Gravely Pro.
Nov 14, 2019
7,843
5,066
113
Eastham, Ma
20 years ago I bought my B2910 for cash and never regretted not having anything other than what my homeowners insurance covered. Never insured my BX2200 either...

Like the OP my tractors are kept at my home. If kept remotely might be a different story, but does not apply to me...or the OP apparently.
All my "stuff" is also covered under my USAA homeowners replacement value policy.......tractors included!
Actually collected a bunch of $ for a fire loss in 1987, but I would not even wish that experience on my ex-wife.
 
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GeoHorn

Well-known member
Lifetime Member

Equipment
M4700DT, LA1002FEL, Ferguson5-8B Compactor-Roller, 10KDumpTrailer, RTV-X900
May 18, 2018
6,040
3,316
113
Texas
20 years ago I bought my B2910 for cash and never regretted not having anything other than what my homeowners insurance covered. Never insured my BX2200 either...

Like the OP my tractors are kept at my home. If kept remotely might be a different story, but does not apply to me...or the OP apparently.
Same here. My Ins Agent (State Farm) simply wanted it listed in my Homeowners Policy and that covers it for theft, fire, liability. The only problem is it is also subject to the same deductible as my Homeowners. so if you want any more coverage than that….you’ll want to purchase addt’l insurance.

There also seems to be some inference regarding equipment-failure…and that would be a “warranty” policy… not the same kind of insurance.

ONe more thing…to be covered under homeowners…. the machine is only covered under that policy while it is on the homeowners’ property. If you move it to a friends house to do some work for them…. the policy doesn’t apply.
 
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RalphVa

Well-known member
Jan 19, 2020
738
320
63
Charlottesville
I’m buying a B2601 and paying cash… do you guys still buy insurance? The Kubota insurance seems to be geared to the financing like other things, cars homes etc… since I will own it outright trying to decide if I need any…
it will be stored in my pole barn at home and mostly used at my 20 acres which is 30 miles away. So will be transporting it whenever I use it out there…
What do you think and if buying insurance what kind of coverage?
thanks for the input…
Far as I know, our homeowners insurance covers ours.