In many rural businesses, a small number of people keep everything running — often family, or a tight-knit team who know the operation inside out.
If one of those people is suddenly unable to work, the impact can be immediate — not just operationally, but financially.
It’s not always something that gets prioritised, but protecting your ability to earn an income is one of the most important parts of any rural insurance plan.
Why This Matters More in Farming
Unlike many other industries, farms don’t easily pause.
Stock still need to be fed
Seasonal windows don’t shift
Workloads often increase during key periods like calving or harvest
When someone central to the business is out of action, there’s usually no simple backup plan — and the cost of bringing in help or slowing production can add up quickly.
What Is Key Person & Personal Risk Cover?
This type of insurance is designed to support the business if someone essential can’t work due to:
Illness
Injury
Disability
Death
It provides financial support at a time when income may drop, but expenses continue.
The Types of Cover to Consider
Income Protection
Helps replace a portion of lost income if you’re unable to work for a period of time.
This can:
Support day-to-day living costs
Help maintain farm cashflow
Reduce pressure to make short-term decisions
Life Insurance
Provides a lump sum payment if someone passes away.
This can be used to:
Support family members
Reduce debt
Provide breathing room for the business
Trauma Cover
Pays out if you’re diagnosed with a serious condition such as cancer, heart attack, or stroke.
This allows you to:
Focus on recovery
Cover medical or recovery-related costs
Reduce financial stress during treatment
Total & Permanent Disability (TPD) Cover
Provides a lump sum if you’re permanently unable to return to work.
This can help:
Adjust the business structure
Pay down debt
Fund long-term changes to how the farm operates
The Real Impact on Your Farm
Without the right cover in place, the effects can be wider than expected.
You may need to:
Bring in temporary or permanent staff
Reduce production or delay key work
Rely on savings or take on additional debt
At the same time, household expenses don’t stop — which adds another layer of pressure
Getting the Right Level of Cover
There’s no one-size-fits-all approach here.
The right structure depends on:
Your role in the business
How reliant the farm is on you (or key individuals)
Existing debt and financial commitments
The level of risk you’re comfortable carrying
A good starting point is asking:
“If I couldn’t work for 3, 6, or 12 months — what would that mean for the farm?”
When Should You Review This?
This type of cover should be revisited when:
Your role in the business changes
Debt levels increase or decrease
Your family situation changes
It’s been a few years since your last review
Like most things in farming, it’s not set-and-forget.
A Practical Approach
The goal isn’t to overcomplicate things — it’s to make sure there’s a plan in place if something unexpected happens.
At Carricks, we work with you to:
Understand how your farm operates day to day
Identify where the pressure points are
Put cover in place that supports both the business and your family
If your farm relies on you or a small team to keep things moving, it’s worth taking a closer look at how protected that income really is.
Let’s make sure you’ve got the right support in place if things don’t go to plan.
