Landowners often worry about liability and insurance when it comes to leasing farmland. Although a legitimate concern, this should not be a barrier to leasing to a farmer. Established mechanisms exist to protect farm property owners and farmers and help to minimize risk. Depending on the types of activities, equipment, other aspects of the farm business, and whether a lease includes a residence, a farm lease should require particular kinds of insurance for both parties. There are several factors to consider when determining what kinds of insurance to require or expect in a lease. See the fact sheet Liability and Insurance and additional resources below.
For general information on insurance and liability, refer to the resources listed on page 29 of the A Landowner’s Guide to Leasing Land for Farming. This detailed guide also has sections that discuss the types of insurance that should be considered, and who usually pays for them.