Looking for Alternatives to KTAC Insurance

[Member 56772]

I am looking for some suggestions for new tractor insurance that doesn't involve an "Add On" to home insurance, or KTAC Insurance. The KTAC Insurance is expensive in my view for what it covers and more importantly what it doesn't (zero liability).
I am in the process of replacing my BX24D I bought new many years ago with a B2601. I would like to take advantage of the Kubota Financing but, the KTAC Insurance is a turn off for me.

 

[85Hokie]

WHAT is the cost these days OF the KTAC insurance?

 

[Member 56772]

WHAT is the cost these days OF the KTAC insurance?

KTAC is $2,665, it is built into the 60 month loan for the $34,000 new value of tractor. The deductible is set at $250, I would like the ability to make it dramatically higher.

 

[fried1765]

I am looking for some suggestions for new tractor insurance that doesn't involve an "Add On" to home insurance, or KTAC Insurance. The KTAC Insurance is expensive in my view for what it covers and more importantly what it doesn't (zero liability).
I am in the process of replacing my BX24D I bought new many years ago with a B2601. I would like to take advantage of the Kubota Financing but, the KTAC Insurance is a turn off for me.

"Inland Marine Ins. Co."
Sold by many/most independent insurance agents.

 

[NCL4701]

This comes up once in a while and there are usually a bunch of answers that may or may not be correct for your usage and legal venue. The only way to truly address your exposure on your tractor, attachments, and liability is to sit down with an insurance agent in your area who has experience insuring farm/construction equipment.

For example, I know a LOT about the coverages available in NC and the finer points of what policies cover landscaping, construction, farm, personal use, etc. I know just enough to be dangerous in CA. Just because XYZ works great for someone in Ohio doesn’t mean much for your situation in California.

The most comprehensive and most cost effective option depends on where all you use it and whether you ever accept money for doing work with it.

The real key is to make sure the agent you’re dealing with has experience and expertise insuring both the equipment and the associated liability. If the agent who insures your home, cars, and even business doesn’t also routinely insure equipment you need to speak to someone else. It’s not a task for those out of their wheelhouse so if you hear something like, “I’ll check with my underwriter and get back to you”: keep looking. If you don’t you can easily be under covered or overpaying; or even worse be overpaying for inadequate coverage.

 

[Member 56772]

Thank

This comes up once in a while and there are usually a bunch of answers that may or may not be correct for your usage and legal venue. The only way to truly address your exposure on your tractor, attachments, and liability is to sit down with an insurance agent in your area who has experience insuring farm/construction equipment.

For example, I know a LOT about the coverages available in NC and the finer points of what policies cover landscaping, construction, farm, personal use, etc. I know just enough to be dangerous in CA. Just because XYZ works great for someone in Ohio doesn’t mean much for your situation in California.

The most comprehensive and most cost effective option depends on where all you use it and whether you ever accept money for doing work with it.

The real key is to make sure the agent you’re dealing with has experience and expertise insuring both the equipment and the associated liability. If the agent who insures your home, cars, and even business doesn’t also routinely insure equipment you need to speak to someone else. It’s not a task for those out of their wheelhouse so if you hear something like, “I’ll check with my underwriter and get back to you”: keep looking. If you don’t you can easily be under covered or overpaying; or even worse be overpaying for inadequate coverage.
[/QUOTE

"Inland Marine Ins. Co."
Sold by many/most independent

Thank you for the wonderful tips! My Kubota dealer, liability insurance agent, geico (cars), or Allstate (boats) didn't have any suggestions for alternative insurance companies that would hopefully satisfy Kubota Finance. The tractor is for personal use exclusively on my property and access roads. I have an email into Inland Marine Insurance, will post an update when I receive a response.
Thanks again!

 

[fried1765]

Thank


Thank you for the wonderful tips! My Kubota dealer, liability insurance agent, geico (cars), or Allstate (boats) didn't have any suggestions for alternative insurance companies that would hopefully satisfy Kubota Finance. The tractor is for personal use exclusively on my property and access roads. I have an email into Inland Marine Insurance, will post an update when I receive a response.
Thanks again!

I had a replacement value policy (incl. liability) on my L48 TLB through Inland, 3 years ago.
It was $500 for the year...THEN! (actual tractor value then, was just short of $40K)
I could take it off my property any time, and could use it there, but not for hire.

 

[Member 56772]

I had a replacement value policy (incl. liability) on my L48 TLB through Inland, 3 years ago.
It was $500 for the year...THEN! (actual tractor value then, was just short of $40K)
I could take it off my property any time, and could use it there, but not for hire.

I contacted a local Insurance Agency representing over 80 Insurance companies and they were unable to obtain a "Stand Alone Inland Marine Insurance Policy for Personal Use". I decided to pay cash for the new tractor and not deal with the insurance issue any longer.

Thanks again for all the suggestions!

 

[NCL4701]

It’s a bit surprising that a carrier with a significant share of the agricultural insurance in California, Nationwide or Grange for example, doesn’t have a reasonably affordable offering. Could be they won’t write it unless the have supporting coverage (you move your other policies to them as well). But, as I said before, my expertise ends at the NC border.

 

[Member 56772]

It’s a bit surprising that a carrier with a significant share of the agricultural insurance in California, Nationwide or Grange for example, doesn’t have a reasonably affordable offering. Could be they won’t write it unless the have supporting coverage (you move your other policies to them as well). But, as I said before, my expertise ends at the NC border.

Every Insurance broker I inquired with had offerings "if" I was a farmer, landscaper, rental fleet, or anything else revolving around the tractor being used for business. The tie in to another insurance policy like home insurance isn't practical for my situation. The KTAC Insurance is pretty empty for $533 a year during the 60 month finance period, if you look at the actual policy it only covers the depreciating tractor nothing else.
Paying cash for the new tractor allows me to avoid the KTAC Insurance ripoff.

 

[North Idaho Wolfman]

I did look it up California insurance law only allows inland marine policies on Equipment in a commercial policy., and not a personal policy!

If that was the case, the Insurance Broker would most likely inform me at the moment of my inquiry. Your political bias may have led you down a path that is ill-informed and not very helpful in understanding the real reasons why the Insurance companies aren't offering this type of coverage. The real reason may be as simple as; "There isn't enough money in it for them."

Every state is different on what insurance can and can not cover, has nothing to do with the insurance carriers.
So yes your issuance broker should have been able to tell you that right off the bat.

 

[North Idaho Wolfman]

An umbrella policy to your homeowners policy will do what, and they are very cheap!

 

[fried1765]

An umbrella policy to your homeowners policy will do what, and they are very cheap!

An "umbrella policy" is used just to increase liability coverage, thus will not provide amy loss or damage protection
According to my insurance provider, (USAA) my homeowner policy (including theft) covers my L48TLB for replacement value, because it is for personal use only, and never leaves my property.
A loss would be a mighty hunk of change ( new L47 TLB, with remotes, and 3rd function, etc - $85K+ tax )
I have my replacement value limit set very high.
I had a major fire claim with them in 1987, and they were great.
Even had an older, used Onan 8KW generator, and a very old Gravely mower,....... they paid new replacement value.

 

[mikester]

I save money on extended warranties by not purchasing them. Never needed one yet.

 

[fried1765]

I bought an extended warranty for $2,000 on a used Mercedes........many years ago,...once.
Wasted my money!
Never since/again....on anything.

 

[BAP]

Every Insurance broker I inquired with had offerings "if" I was a farmer, landscaper, rental fleet, or anything else revolving around the tractor being used for business. The tie in to another insurance policy like home insurance isn't practical for my situation. The KTAC Insurance is pretty empty for $533 a year during the 60 month finance period, if you look at the actual policy it only covers the depreciating tractor nothing else.
Paying cash for the new tractor allows me to avoid the KTAC Insurance ripoff.

Nothing forcing you to finance it with KTAC. Go get a loan at a local bank if you don’t like it.

 

[trainman605]

This is my first post and the Kubota XG 850 will be my first Kubota, I was thinking of financing my Kubota with Kubota for the 0 interest rate rather then spend my money where it can make much more in my investments. I have most of my stuff with State Farm, but do usually put my motorcycles, UTV's, travel trailer with Progressive, there rate is usually better then SF on recreational vehicles. All being said, is there a problem with Kubota Finance when using another insurance company and not there insurance, I personally don't like finance companies insurance, as they tend to not be as easy to deal with for service and repairs, if I do happen to need it. All being said, I want to be in control and not them if I need there services. I do realize for some that including the insurance in there monthly payment would work for them, but for me, I don't want the finance company handling my insurance affairs.

trainman

 

[PaulL]

You can get insurance elsewhere.

KTAC have a very good reputation, it's not dealing with the finance company so much as dealing with Kubota. They understand the tractor very well, and the policy covers a lot of stuff that other policies don't. It can tend to be more expensive though (no such thing as a free lunch).

 

[BAP]

This is my first post and the Kubota XG 850 will be my first Kubota, I was thinking of financing my Kubota with Kubota for the 0 interest rate rather then spend my money where it can make much more in my investments. I have most of my stuff with State Farm, but do usually put my motorcycles, UTV's, travel trailer with Progressive, there rate is usually better then SF on recreational vehicles. All being said, is there a problem with Kubota Finance when using another insurance company and not there insurance, I personally don't like finance companies insurance, as they tend to not be as easy to deal with for service and repairs, if I do happen to need it. All being said, I want to be in control and not them if I need there services. I do realize for some that including the insurance in there monthly payment would work for them, but for me, I don't want the finance company handling my insurance affairs.

trainman

Do a search on here for KTAC and you will find countless threads on this subject with much information about how it works and the advantages/disadvantages of it.

 

[trainman605]

For myself I will just want insurance for a XG850 Sidekick, it will be used around the property for my personal use, not using it for any services for monies. I think the Kubota insurance would work well for some because of there uses that they use there equipment, understandable. I will be going to the dealer this week and see what they say about insurance when financing, if it does not work out for me on getting insurance, will just use my local agent, then I will just pay cash for the Sidekick and save myself $500 that you give up when you finance. Thanks for the input from the forum, just helps be decide on what to do.

trainman