What does custom farming entail?

Custom farming involves the use of an insured's farm machinery or equipment to provide farming services for compensation. This practice allows farmers to maximize the utility of their machinery by offering services to other farmers or landowners who may not have their own equipment or need additional resources for their farming operations. The compensation aspect is key, as custom farming is a business arrangement where the service provider is paid for the use of their equipment and their labor in managing agricultural tasks.

In essence, the relationship established in custom farming is one of mutual benefit: the owner of the machinery earns income by providing a service, while the client benefits from access to farming equipment and expertise without the initial investment required to purchase or maintain such equipment themselves. This can include activities such as planting, harvesting, or tilling, where the farm machinery plays a crucial role in meeting agricultural needs efficiently.