THE GRAINS industry has downplayed fears insurance premiums for harvesters may rise to exorbitant levels following a spate of header fires caused primarily by flammable dust from pulse crops hitting hot engine parts.
Grain Producers Australia (GPA) chairman Andrew Weidemann said his organisation had met with industry players, such as the Grains Research and Development Corporation (GRDC), contract harvester group Australian Customer Harvesters and major insurance providers to discuss the issue.
“The clear message is that insurance will continue to be available for all harvesters, including contractors,” he said.
“This goes right across the board, no matter what crop you are harvesting, whether it be cereals or pulses, where more header fires have started.”
He said market forces would guide the price of insuring a harvester.
“It’s a highly competitive space in respect of both premiums and product offerings and the clear message was that insurers are prepared to work with clients, or potential clients, to meet their needs.”
Mr Weidemann said it was good news for the industry that harvester owners could continue to protect their asset, valued in the hundreds of thousands of dollars.
He said the industry would continue to work to minimise the risk of fires.
“Header fires are an extremely serious issue for all involved, which in worst case scenarios can be many people far beyond the initial ignition point and is why all people working in harvest operations should know about and use all appropriate strategies to avoid or contain fires.”
He said initiatives such as the GRDC series of workshops on minimising the risk of harvester fires, farmer-driven harvester modifications to prevent dust settling on hot engine parts, along with existing protocols for harvesters would help lower the incidences of harvester fires.
“Australian Custom Harvesters, which was previously known as the Australian Grain Harvesters Association, explained to us the steps taken by professional operators to manage fire risks
.“GRDC emphasised that considerable research work is already available on many aspects of crop fires including key risk factors and mitigation, with modern monitoring and communication technology offering growers and contractors much greater scope to manage the issues than in years past.
“In the event a fire does occur though, you want to know that insurance is there to help the recovery and all the insurers who met with us emphasised the long term nature of their businesses, which seek a balance over many years.”
Moving forward, Mr Weidemann said all parties involved in the meetings had agreed to set up a working party with farming representatives, insurers, ACH representatives and researchers to identify key research issues and to guide and prioritise research into managing fire risk.
“In the meantime the very clear message from the insurers is it is ‘business as usual’,” he said.