What Insurance Policy Covers Tools and Equipment?

A contractor's tools are the lifeblood of their business. Make sure you have the right coverage to protect the equipment you need to get the job done right from loss, theft, and damage.

Often, policies like your homeowners and renters insurance, or your commercial or personal auto insurance, don't extend to your tools and equipment. Make sure you know if your tools are covered. Discover the three insurance lines that can help protect your tools and equipment.

Inland Marine Insurance

One of the biggest risks contractors face is the theft of equipment, machinery, and tools. Contractor Tools and Equipment Insurance, also known as Inland Marine Insurance, protects your tools and equipment should something happen to them. This coverage helps protect your high-value, movable, filling in where your builder's risk or commercial property policies leave off.

Items like welders, generators and other high-value equipment can become costly to replace if they are stolen, lost, or damaged. Contractor Equipment and Tools Insurance is ideal for protecting the high-value equipment that you rely on.

Builders Risk Insurance

Builders Risk Insurance, which may also be called Course of Construction Insurance, helps to address the unique risks contractors face while working on a project. This can include incidents such as damage to a structure in progress by vandalism or weather events.

Crucially, this coverage may also extend to tools and equipment that are kept on the job site. If something happens to your tools or equipment while you're on the job site, your Builder's Risk Policy can step in to help with the damages.

Commercial Property Insurance

While Builder's Risk Insurance can help with tools at a job site, Commercial Property Insurance can help cover the equipment kept at your business location. Commercial Property Insurance is a vital part of any business's policy and helps protect against vandalism, weather events, theft, accidental damage, and other concerns.

This protection may also extend to the equipment you keep at your commercial property, protecting your tools from loss, theft, or accidental damage.

Your company's insurance coverage needs are unique depending on your business model. The best way to ensure that you have adequate coverage for the tools and equipment you need to run your business is to speak with your insurance agent. Ready to get started? Get a quote from your team at AEGIS.




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An InterWest Insurance Services LLC Affiliate

40169 Truckee Airport Rd. Ste #203
Truckee, California 96161
Phone (800) 579-6369
Fax (530) 582-6007
License #0B01094