Contractors rely on their tools and equipment to get the job done. To protect these tools from theft or vandalism, there’s Tools and Equipment Coverage.
Tools and equipment insurance can cover both large equipment and small hand tools.
Most commercial property policies cover buildings and personal property at your premises or within a short distance. Tools and Equipment coverage is designed to cover movable property wherever it may be located.
Smaller items, generally with a value of less than $1,000 can be covered on a blanket basis. You’ll want to list higher-value items (generators, heavy equipment such as excavators) individually. It’s also important to keep an inventory (with photos, if possible) and proof of purchase.
As always, there are some exceptions and limits to this type of coverage. Your insurance agent can explain more.