Farm insurance in the age of AgTech and automation

As Australian farms become more technologically advanced, the insurance that protects them must evolve too. The rise of AgTech is reshaping farming operations across the country – from autonomous tractors to precision spraying – and these changes are introducing new opportunities, and risks.

How AgTech changes farm insurance in Australia is a key consideration for brokers. It’s not just about new equipment – it’s about understanding the unique risks this tech introduces and offering cover that keeps pace with innovation.

Tech on the farm is more than a trend

The growing use of automation is visible in rural and remote regions, where limited access to labour has fast-tracked the adoption of AI-powered machinery. Tools like driverless tractors, smart sprayers and GPS-guided harvesters are now part of daily farming operations.

“This kind of tech isn’t science fiction – it’s happening now, and it’s helping farmers to meet growing demand with fewer hands-on deck,” says Peter Morsley, Underwriting Manager at ARGIS. “Efficiency is critical when you’re feeding a nation.”

“Brokers need to include these technologies in their AgTech insurance conversations, especially as they become the norm, rather than the exception,” Peter adds.

New tools, new risks

“With new tools come new exposures,” says Peter. “Traditional farming risks, like fatigue-related accidents from long hours in the tractors, are being replaced – or at least complicated – by those associated with automation.”

As operators become accustomed to automated systems, a learning curve emerges. While safety features such as auto-stop and object detection are built into many technologies, human oversight and routine maintenance remain critical for ensuring proper function.

“Just because a machine drives itself doesn’t mean it’s immune to breakdowns or the potential to cause damage,” Peter adds. “Brokers need to be prepared to discuss these evolving risks with their clients and ensure they understand what they need to know about AgTech insurance.”

How ARGIS is responding

Most importantly, the ARGIS Farm Extra Insurance policy already provides farm insurance for autonomous machinery – with no additional restrictions.

“Our farm vehicle insurance coverage includes the sort of automated machinery we’re now seeing more of,” says Peter. “There’s no need for a special add-on, and no extra hoops to jump through. We understand the tech, and we’ve built that flexibility into our cover.”

As a specialist agricultural underwriting agency, ARGIS is committed to staying at the forefront of AgTech insurance by actively monitoring developments in precision farming and automation, particularly in commonly used equipment like sprayers and seeders. 

Future-ready solutions for brokers

“The future of farming is smart, and AgTech is here to stay,” says Peter. “That means brokers play a vital role in ensuring their clients are adequately protected as they transition to more automated systems. From traditional tractors to intelligent implements, AgTech insurance must be just as advanced as the equipment it covers.”

“The ARGIS Farm Extra Insurance policy isn’t just insuring machines,” Peter adds. “It’s backing the people using them, and the future they’re building.”

Need help navigating your clients coverage in the era of automation? The ARGIS team is here to support you every step of the way. Reach out today on 1300 794 364, or by email at argis@argis.com.au.

The cover is subject to terms and conditions, limits and exclusions of the policy. Any information provided above is general advice only and has been prepared without taking into account your client's objectives, financial situation or needs. SGUAS Pty Ltd t/as ARGIS Insurance (ARGIS) acts for the insurer, Pacific International Insurance Pty Limited (Pacific). Consider the Product Disclosure Statement and Target Market Determination, available by contacting ARGIS on 1300 794 364 or visiting www.argis.com.au before deciding if it is right for your client.