Some activities seem like no big deal—until your insurer finds out and disappears faster than a canceled check. They don’t cover everything, and no, they’re not obligated to explain why until the claim gets denied. Sound harsh? It is. Want to know what gets the boot every time? Here’s what makes them say, “Absolutely not.”
Running A Commercial Daycare At Home
Thinking of opening a home daycare? State Farm says “hold up” if more than six kids are involved. Once that number’s crossed, the liability risk is too much. Kids fall, kids fight, and insurance companies get nervous. Even unpaid babysitting can raise red flags. Some states even demand separate daycare coverage just to be safe.
Owning Property Outside The Continental U.S.
State Farm offers coverage only within the 50 U.S. states and Washington, D.C. Properties in foreign countries fall outside that range due to complicated liability systems. Certain providers exclude U.S. territories as well. While Alaska and Hawaii qualify, factors like extreme weather and shipping delays can increase premium costs.
Hosting Children’s Events For Profit On Your Farm
A farm full of kids can be joyful. However, when fun turns into a business, the risks and liabilities increase. State Farm considers events such as petting zoos, hayrides, and pumpkin patches too risky to insure if you’re charging money. Knowing what your insurance excludes can help you avoid unexpected liability and financial loss.
Operating A Commercial Kennel On Your Property
Running a dog kennel on your land? That’s a no-go for State Farm. The danger, including bites and noise complaints, is considered too high. Farms with commercial kennels aren’t covered either. Interestingly, it’s not about the breed but the dog’s behavior. Too many complaints or incidents could lead to your policy being canceled.
Treating Crops With Aerial Equipment
State Farm does not cover farms that use aircraft to spray pesticides. This practice, called crop dusting, involves high hazards such as chemical exposure and pesticides drifting onto nearby properties. Although it requires an FAA-certified pilot, certification does not make the activity insurable. It’s simply too dangerous for standard farm insurance.
Raising Hogs On Residential Property
Backyard hog farming might seem charming, but State Farm won’t insure it. The waste and health dangers are simply too great. A single hog can produce over 10 pounds of waste every day. In fact, some towns ban pigs entirely, even as pets. For farms in residential areas, this is an automatic insurance dealbreaker.
Allowing Pick-Your-Own Visitors On Your Farm
State Farm considers pick-your-own farms as commercial businesses. This means visitors are treated like customers, which raises liability concerns. The most common problems involve slip-and-fall injuries, especially on wet or uneven ground. Because of these dangers, pick-your-own activities are not covered by standard farm insurance policies.
Owning Exotic Or Wild Animals
Owning exotic animals creates major insurance challenges. Injuries caused by pets like monkeys or parrots are excluded from coverage. The risks of disease transmission and escape are too high. Some states even ban owning big cats entirely. Before adopting wild animals, check local laws and review your insurance policy for exclusions.
Running A Home-Based Tattoo Or Piercing Studio
Are you looking to run a tattoo or piercing studio from home? These businesses carry risks such as injury, infection, and allergic reactions. In some states, medical-grade sterilization is required by law. Due to these liabilities, standard insurance policies exclude these activities. So, make sure to research specialty insurance options before you get started.
Offering Adventure Sports On Your Property
Offering adventure activities on your land creates serious liability exposure. State Farm excludes coverage for any recreational business, including ziplines or ATV rentals. Tree swings have caused expensive settlements, and some states require participant waivers by law. If you’re planning outdoor attractions, explore commercial coverage before letting guests sign up.
