Why mobile property needs its own coverage
A shop property policy may mainly cover property at the address listed on it. Your tools travel in trucks, sit at job sites and move between storage locations. Inland marine is a category of property insurance often used for these movable items.
The equipment policy identifies covered items, locations or situations and causes of loss. General liability addresses claims from other people, not the theft of your own saws. Commercial auto mainly insures vehicles, not everything carried inside them.
Listed equipment and smaller tools
A schedule is a list of individually described items and insured values, often used for larger machines. A blanket limit may cover a group of smaller tools without listing each one, subject to item limits and other conditions.
Count how much could be lost in one event. A $10,000 blanket limit would not be enough for $30,000 of covered tools stolen together from one trailer. Also ask whether a separate maximum applies to each item, vehicle or location.
What replacement cost and actual cash value mean
Replacement cost generally looks at the cost to replace covered property with comparable new property, subject to the policy’s conditions. Actual cash value generally takes depreciation into account, so age and wear can reduce the payment.
Neither term means an unlimited payment. The insured value, applicable limit and deductible still matter. A deductible is the portion of a covered loss you pay. Keep receipts, serial numbers and photographs so you can establish what you owned and its value.
Theft conditions can determine whether a loss qualifies
Read how the policy treats tools in an unattended vehicle, open job site, storage unit or trailer. Some forms require locks, evidence of forced entry or other security measures. An exclusion is a situation the policy does not cover.
Rented machines and materials for the job
A rental contract can make you responsible for damage to a machine you do not own. Rented equipment coverage may need its own limit or endorsement, which is a change to the policy. Send the agreement and the highest value you expect to rent at one time.
Building materials waiting to be installed are a different question from your tools. Installation coverage or builders risk may fit those materials. Tell us who owns them, where they are stored and who is responsible while they travel to the site.
Common questions
Tools and equipment insurance is the coverage to review for theft of your own tools. General liability generally addresses claims from other people. We need the tools’ values, storage arrangements and security details to check theft coverage and deductibles.