As Gundungarra pays $420k for champion bull, insurance firms adapt to boom
Top stud bulls now sell for $400,000-plus, and Australian insurers have expanded coverage capacity to meet demand.
Gundungarra Angus paid a record $420,000 for Millah Murrah Wyatt W50 in September. The purchase made him Australia's most expensive bull sold at auction.
Five years ago, a $100,000 bull would hit an insurance ceiling. Today brokers cover bulls at that price and higher.
Insurance costs 6 to 17 percent of a bull's sale value each year. Farmers now include this in their bidding plans.
Achmea Australia, a major livestock insurer, recently launched an online service offering instant cover for bulls up to $100,000. Higher prices go to underwriters for approval.
The company's average bull value is now $50,000 a year.
- $420,000
- Record bull price this year
- $50,000 per year
- Achmea Australia average bull value
- 6 to 17 per cent annually
- Insurance cost range
- $160,000
- Highest bull price in 2019
Why it mattersInsurance protection lets farmers invest in top genetics without risking everything. Banks are also more willing to lend.
AustraliaAustralian stud breeders can now confidently bid for record-price bulls, knowing insurance will protect their investment if the animal dies, falls ill, or suffers injury in the paddock.
✓ Claims checked against the source and corrected before publish. checked 2 h ago
