Tools and Equipment Insurance

What is tools and equipment insurance?

Equipment insurance pays to repair or replace a contractor's moveable tools and equipment if they're lost, damaged, or stolen. Also called contractors equipment insurance, it's a good fit for tradespeople who commute to job sites.

Protect your tools and equipment wherever you go with inland marine insurance on a general liability or business owners policy (BOP). This coverage lets you focus on your work, knowing your essential equipment is taken care of and your business can operate smoothly.

Progressive Commercial offers options tailored to your needs. Connect with one of our insurance experts to curate a policy today or start a quote online.

Who needs tools and equipment insurance?

Contractors who rely on tools and equipment for work need business equipment insurance to minimize financial losses. It's a smart choice for companies that travel with tools to job sites or store tools away from their business premises.

Without coverage, small businesses can have a hard time recovering from stolen machines, vandalized materials, and other mishaps. Commercial equipment insurance can decrease downtime by helping repair and replace the tools you need for work.

Professions that should consider tool insurance include:

• Carpenters
• Construction companies
• Handymen
• Landscapers
• Plumbers
• Electricians
• HVAC technicians
• Painters

If you're not sure if this coverage is right for you, speak with a Progressive Commercial insurance expert to learn more.

What does tools and equipment insurance cover?

Contractors equipment insurance covers a variety of tools that you regularly take to jobs, store off-site, or keep in your vehicle. For example, it can protect lawnmowers, chainsaws, hand tools, laptops, and more.

This type of equipment insurance coverage can help with a range of events, such as:

Theft

Tools and equipment insurance pays to replace covered items that are stolen while traveling or stored off-site.

Vandalism

If someone intentionally vandalizes your tools and equipment, this coverage could help pay to restore them to working condition.

Accidental damage

Business equipment insurance can help when drops, impacts, and other unexpected accidents damage your tools. That said, it doesn't cover normal wear and tear on older items.

Rented tools and equipment

If you choose to rent vs. buy equipment for your business, your insurance policy can still protect the leased equipment. Read your policy or speak with an agent to learn what's included.

What insurance for tools and equipment doesn't cover

Common exclusions for tools and equipment insurance include:

Normal wear and tear

Normal wear and tear from regular use isn't covered. In many cases, insurers will set limits on how old tools can be for coverage to apply.

Negligent operation error

Commercial equipment coverage protects against some mistakes, but there might be exceptions for certain types of operator error. For example, if one of your workers breaks a weedwhacker by ignoring the manufacturer's instructions and acting negligently, an insurance company might not pay for a new one.

Natural disasters

Damage from earthquakes, hurricanes, and other natural disasters probably won't be covered by your tools and equipment insurance. In some cases, there are endorsements available for these events.

Business vehicles

You'll need commercial auto insurance to cover permanently attached equipment in your business vehicles, such as a vacuum system in a carpet cleaning van or a built-in toolbox in a work truck.

How are tools and equipment insurance and inland marine insurance different?

They're not. Inland marine insurance is just another name for tools and equipment insurance. The term "inland marine" sounds like it has something to do with the ocean, but it was originally used to differentiate between goods that were shipped via water and goods shipped over land. Today, it refers to property that's transported like tools and equipment on job sites.

How much does tools and equipment insurance cost?

Your equipment insurance cost depends on several factors. Insurers consider the following when calculating your rate:

• Industry
• Location
• Value of your tools
• Coverage amount
• Claims history
• Limits and deductibles

Keep in mind that more expensive items will typically cost more to insure. Get a customized quote to learn your contractors equipment insurance cost.

How to get contractor tools and equipment insurance with Progressive Commercial

You can get tools and equipment coverage on a general liability policy with inland marine insurance, also known as equipment floater insurance. It's also available on a business owners policy. The type of insurance you need depends on:

• Tool type and use
• Repair and replacement costs
• Your typical travel radius
• Where you store your tools
• Other coverages your business needs

To get the right tools and equipment insurance coverage, be prepared to provide details about your gear such as make, model, and serial number. Once you have an idea of what you want covered, you can start a quote online or speak to an insurance agent.

Why choose Progressive Commercial

You can count on us to help protect the tools and equipment that keep you running. For over 50 years, businesses like yours have trusted Progressive Commercial to provide flexible coverage options, affordable rates, and expert support. Get a quote tailored to your specific needs today.