At least for me anything accidental and non malicious. So basically if I cut down a tree and it rolled on my tractor I could use it but the deductible might not be worth it. If it slipped into a pond and flooded I could use it. If there was a garage fire or even just the tractor on fire I could use it. The difference is your looking at a 1-2k deductible vs KTACs 250. If I used my tractor for business I think I would have KTAC on it 24/7. KTAC also handles it all for you. I would have to source parts and present options to my insurance if something happens.
To KTAC or not KTAC
- Thread starter fmgsr
- Start date
Runs With Scissors
Well-known member
Equipment
L2501 TLB , Grappel, Brush Hog, Box Blade, Ballast box, Forks, Tiller, PH digger
I hate insurance companies nearly/almost/as much as I hate .Gov/Big Brother,
But I have KTAC
I have never needed it, but it give me ‘peace of mind’ I guess.
I am convinced that, in the end, those damn “Actuaries" win, no matter what you do…………..DAMN THE MATH!!!!!!!!!!
EDIT: It’s also the reason that I don’t go to Casinos anymore…………Here's a secret…….(SHHHH
…..you can’t win)
Double EDIT:…..But I did buy a Lotto ticket last night….. ….Man…... life is complicated………...
But I have KTAC
I have never needed it, but it give me ‘peace of mind’ I guess.
I am convinced that, in the end, those damn “Actuaries" win, no matter what you do…………..DAMN THE MATH!!!!!!!!!!
EDIT: It’s also the reason that I don’t go to Casinos anymore…………Here's a secret…….(SHHHH
…..you can’t win)Double EDIT:…..But I did buy a Lotto ticket last night…..
….Man…... life is complicated………...
Last edited:
bbxlr8
Well-known member
Equipment
L2501 w/R14s, LA525, BH77, SGC0660, CL 5' BB, CL PHD, WG24 + Ford 1210 60" mmm,
I have still have KTAC but I am not sure this is true..? Expensive fail, meaning operational accident rather than something not working.
I have had two instances where I looked into it. One was my idiotic move running over nails, ruining the tire and wheel. It was easier and a wash to bend it back out and tube it. (for both cost and downtime).
I have been experiencing an intermittent issue that began shortly after the warranty expired. It is the pressure relief valve for the BH, but I was told it was not covered, even assuming it was determined bad by the dealer
I would be very surprised if your homeowners will cover the tractor if you roll and total it. KTAC will.
There are plenty other ways KTAC pays when a home owners wont.
Dan
Last edited:
I had KTAC the entire time (5 years) I owned the BX25 and did make use of it towards the end of ownership when I managed to roll a large maple log into the front of the tractor. I didn't have the front guard on, and the log did quite a bit of damage including a light, the hood and the exhaust. KTAC covered the entire thing including new stickers for the hood.
I had the MX6000HST covered under my State Farm policy during the 15 months that I owned it. I have the current tractors covered under my State Farm policy too but will end the coverage as soon as they're paid off. The BX was the only tractor that I ever damaged so either I learned how to avoid doing damage or I've been lucky. Probably a bit of both.
I had the MX6000HST covered under my State Farm policy during the 15 months that I owned it. I have the current tractors covered under my State Farm policy too but will end the coverage as soon as they're paid off. The BX was the only tractor that I ever damaged so either I learned how to avoid doing damage or I've been lucky. Probably a bit of both.
Insurance is fundamentally a numbers game, that's why actuaries get paid a lot of money.
At bottom, they charge you what they expect the cost of damage/loss to your tractor will be in the life of the policy, plus a bit for profit. On average buyers of insurance therefore lose money (the profit margin).
The real question is whether you're stupider/unluckier than the average insurance buyer, or smarter/luckier. If you're smarter/luckier, then on average you're better off self insuring.
However, there are some wrinkles in the calculations:
1. (and the most important) insurance turns a small chance of a big loss into a big chance of a small loss. For a lot of people that's smart business. They can afford the small loss that you'll most likely take, and they avoid a big loss that might seriously stretch their finances. That is the fundamental purpose of insurance - to spread the risk, and convert a risk of catastrophic loss into a certainty of a small cost. If you can't afford to self insure, then you should buy insurance. This is also why you shouldn't really be looking at whether you "came out ahead" on insurance. You're not supposed to come out ahead most of the time, insurance isn't for paying for day to day maintenance/repairs. It's for catastrophic loss, and if you don't get one of them you should be happy about it.
2. KTAC in particular has the repairs and parts provided by Kubota. I think that they're leveraging their ownership - what they pay to repair or replace a tractor is not what you'd pay.
3. They repair it different than you would. When I damage my tractor I fix it myself. A little panel beating and a rattle can of Kubota orange, and I'm OK with that. If you want your tractor fixed "like new" then KTAC is a good idea, if you're OK that bits and pieces of breakage happen and it's no big deal, then KTAC may not make as much sense.
In short, if you're a reasonably new tractor owner (aka likely to break things until you get the hang of it), and you like your tractor to remain in showroom condition, KTAC is likely to be good buying for you. You'll do more damage than the average person, and you'll get your tractor fixed pretty much like new.
If you're a relatively experienced operator who doesn't do too much damage (compared to the average punter, including businesses that have apprentices drive their tractors....), and you're OK that your tractor over time will accumulate battle scars, then you're probably better holding insurance only for total loss/fire and the like - i.e. homeowners insurance.
At bottom, they charge you what they expect the cost of damage/loss to your tractor will be in the life of the policy, plus a bit for profit. On average buyers of insurance therefore lose money (the profit margin).
The real question is whether you're stupider/unluckier than the average insurance buyer, or smarter/luckier. If you're smarter/luckier, then on average you're better off self insuring.
However, there are some wrinkles in the calculations:
1. (and the most important) insurance turns a small chance of a big loss into a big chance of a small loss. For a lot of people that's smart business. They can afford the small loss that you'll most likely take, and they avoid a big loss that might seriously stretch their finances. That is the fundamental purpose of insurance - to spread the risk, and convert a risk of catastrophic loss into a certainty of a small cost. If you can't afford to self insure, then you should buy insurance. This is also why you shouldn't really be looking at whether you "came out ahead" on insurance. You're not supposed to come out ahead most of the time, insurance isn't for paying for day to day maintenance/repairs. It's for catastrophic loss, and if you don't get one of them you should be happy about it.
2. KTAC in particular has the repairs and parts provided by Kubota. I think that they're leveraging their ownership - what they pay to repair or replace a tractor is not what you'd pay.
3. They repair it different than you would. When I damage my tractor I fix it myself. A little panel beating and a rattle can of Kubota orange, and I'm OK with that. If you want your tractor fixed "like new" then KTAC is a good idea, if you're OK that bits and pieces of breakage happen and it's no big deal, then KTAC may not make as much sense.
In short, if you're a reasonably new tractor owner (aka likely to break things until you get the hang of it), and you like your tractor to remain in showroom condition, KTAC is likely to be good buying for you. You'll do more damage than the average person, and you'll get your tractor fixed pretty much like new.
If you're a relatively experienced operator who doesn't do too much damage (compared to the average punter, including businesses that have apprentices drive their tractors....), and you're OK that your tractor over time will accumulate battle scars, then you're probably better holding insurance only for total loss/fire and the like - i.e. homeowners insurance.
Elliott in GA
Well-known member
Equipment
LX 2610SU w/535,LP RCR1860,FDR1660,SGC0554,FSP500, DD BBX60005
Well, just to put some numbers on KTAC costs. When I purchased my tractor with loader, the two mowers, box blade, grapple, quick hitch and spreader in FEB 2021, the KTAC cost was about $470 a year. As my contract expires next month, I received a new quote from KTAC to continue all coverage (now at actual value versus replacement) for all of the same equipment.
The KTAC quote is ~$570. FWIW, I did an on-line quote from Progressive (they will give you an actual number immediately - good for them / they are not my normal insurance company); Progressive's quote was ~$360 for just the tractor.
I will continue with KTAC.
The KTAC quote is ~$570. FWIW, I did an on-line quote from Progressive (they will give you an actual number immediately - good for them / they are not my normal insurance company); Progressive's quote was ~$360 for just the tractor.
I will continue with KTAC.
Its my understanding that KTAC is substantially better.
Regular insurance will kinda treat it like a car. If you have a problem they will evaluate it and decide how much they will pay to fix it. Not how much it will be to fix it. How much they will pay. They will also decide if its even worth fixing. Serious damage will not be worth fixing, they will want to "total" it. They will not give you anywhere near the price of a replacement tractor when they total it. They will probably also have a substantial deductible. They might cover liability for you and a few other things. Lots of rules and restrictions, like only you as the driver, only on your property, and no commercial work.
KTAC will cover the tractor for damage, big and small, and fix it completely for only a 200 ( or mayb 250 ) deductible. Does not matter if it was you driving or not, does not matter if it was on your property or not, does not matter if you were doing a little side work with it. KTAC will also cover dealer purchased accessories and attachments.
Insurance and KTAC don't even seem like the same product from what I have seen. Sure it costs more but you get much more. I will amend that to you get much more IF you ever need to use it. If you dont need it they are just numbers on paper, one being higher, and peace of mind which is worth something to some people.
For info. I have KTAC on a newish l3560. They are charging me just over 1000 a year. Have not had to use it yet but I really like the peace of mind, and I am figuring with the amount of trees I deal with there will be some damage at some point. I could only imagine the nightmare of dealing with a regular insurance company for a big issue and I would not even go to them for a small issue even if its over the deductible because it would most likely not be worth dealing with the hassle and the subsequent rate changes (maybe to all my policies?).
Also it eases my mind if I let other people drive. Not that I am letting other people drive my baby, oh nonono. But I feel like I could.
Regular insurance will kinda treat it like a car. If you have a problem they will evaluate it and decide how much they will pay to fix it. Not how much it will be to fix it. How much they will pay. They will also decide if its even worth fixing. Serious damage will not be worth fixing, they will want to "total" it. They will not give you anywhere near the price of a replacement tractor when they total it. They will probably also have a substantial deductible. They might cover liability for you and a few other things. Lots of rules and restrictions, like only you as the driver, only on your property, and no commercial work.
KTAC will cover the tractor for damage, big and small, and fix it completely for only a 200 ( or mayb 250 ) deductible. Does not matter if it was you driving or not, does not matter if it was on your property or not, does not matter if you were doing a little side work with it. KTAC will also cover dealer purchased accessories and attachments.
Insurance and KTAC don't even seem like the same product from what I have seen. Sure it costs more but you get much more. I will amend that to you get much more IF you ever need to use it. If you dont need it they are just numbers on paper, one being higher, and peace of mind which is worth something to some people.
For info. I have KTAC on a newish l3560. They are charging me just over 1000 a year. Have not had to use it yet but I really like the peace of mind, and I am figuring with the amount of trees I deal with there will be some damage at some point. I could only imagine the nightmare of dealing with a regular insurance company for a big issue and I would not even go to them for a small issue even if its over the deductible because it would most likely not be worth dealing with the hassle and the subsequent rate changes (maybe to all my policies?).
Also it eases my mind if I let other people drive. Not that I am letting other people drive my baby, oh nonono. But I feel like I could.
Last edited:
KTAC does not cover anything that the normal tractor warranty covers even if the warranty has expired. Its not for engine problems unless that engine problem is something like a tree flattening it, flood or a fire. Its for damage and theft.
whitetiger
Moderator
Staff member
Equipment
Kubota tech..BX2370, RCK60, B7100HST, RTV900 w plow, Ford 1100 FWA
Kubota does not own the insurance company offering KTAC, and the check is sent to pay the entire repair minus $250.00.
My L3901 caught fire and was a total loss. It was financed so KTAC was required (thankfully!). Deductible was paid and KTAC sent a check to buy back the L3901. It was that simple.
The one catch is you have to buy another Kubota (any model) of equal or greater value or else KTAC only pays what the tractor was worth at the time of loss. I upgraded to the MX5400.
The one catch is you have to buy another Kubota (any model) of equal or greater value or else KTAC only pays what the tractor was worth at the time of loss. I upgraded to the MX5400.
Sounds great. I definitely am going with the KTAC. But do you remember the numbers involved?
That is so well put... I beleive the same thing you do and operate as such, frankly it's about the only logically correct conclusion. So the wise answer really is dependent on the person and personal finances. I agree, if I can afford to replace it- I typically don't insure it, as you are correct the house always wins big picture. So yes if you can afford to replace or repair you are better off banking that money, if you cannot pay the coverage...
I find many folks who could cover the loss or repair still insure and in discussions I've told a friend to help convert yourself to the self insurance when possible mindset, the first time you try it- make sure you can afford to self insure whatever it is, cancel or don't get the coverage and then literally bank it... Open a side account and pay the insuarance premium you would have paid to that account.... It's often eye opening as culturally we are "if you can afford the insurance, get it". When really the right answer is much more situationally dependent