Do you have the tools to do the job right? Best craftmanship
Do you have the tools to do the job right?
The best craftsmanship requires the best tools, the best talent and the best insurance coverage. There is nothing worse than stolen tools on a job site. A contractor relies on their tools and equipment to get the job done.
That's right, to maintain your quality, project after project, year after year, and to grow your business requires the right tools from time to time. And losing the tools can be very costly. To find out what insurance is right for protecting the tools, talk to your insurance broker.
A business can protect its tools and equipment against theft with a special type of property insurance.
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Business owners want to protect their tools and other assets from theft, no matter the industry. Protect these valuable assets with coverage call Tools and Equipment Insurance. However, getting insurance for the contractor's tools and equipment may be complicated.
Imagine that a restaurant owner's commercial property insurance would protect the business assets within the business location, such as paint on the wall, tables, chairs, refrigerators, and espresso machines.
As above, commercial property insurance protects the assets that remain inside the business location. For tools and equipment on the move, there is a need to know where tools and equipment and different insurance types. The tools and equipment insurance, also known as inland marine insurance, will cover business assets moving from one site to the next.
The Tools and equipment insurance covers the work tools and equipment regularly transport by a business worker. The insurance protects most construction and contracting equipment, including those that are being transported overland. (also known as inland marine insurance)
The tools and equipment insurance will cover stolen, lost and damaged tools. Should tools are stolen out of a company's truck, damaged by vandalism on a job site, missing after being loaned to a crew member, the tools and equipment insurance will cover it.
The Tools and equipment insurance covers equipment and hand tools of any size. To properly protect, the insured will declare the tools and equipment they possess in either way on a policy:
Unscheduled coverage :
The policy can define a limit on insurance coverage to cover smaller tools/equipment under $1,000 each as a blanket basis. All these small tools are not required to list and name them one-by-one in the policy.
Higher-value items such as generators, excavators or bulldozers, or anything with a value over $1000 may individually list and define its value on the insurance policy.
Any single insurance coverage for tools and equipment can be a mixture of a scheduled and unscheduled combine.
Always keep proper records and proof of your tools (receipts or photos that verify the ownership), so when filing for a claim, the tools and equipment in question can prove it's lost.
Insurance policy has exclusion on Tool and equipment policies. Wording may vary from each insurer, but some of the common exclusions in most policies include:
War, government seizure, or nuclear hazard
Wear and tear
Loss of documents
Changes in temperature or humidity
For some expensive equipment, the insured may consider broadening the coverage to include additional coverage on tools and equipment policy, including:
Flood and earth movement
Disturbance coverage (for electrical or power supply disturbance)
Loss of income
Do not delay. Report the stolen tools or equipment to the police. With the police's file on hand, call the insurance company for a claim and let the adjuster walk through the claim process to reimburse the stolen tools.
Be sure to talk to your insurance broker to understand exclusion, deductible, and other insurance policy coverage.
Ensure you get the best coverage for every project. As a business grows along with crews, always talk to your insurance broker to get the right insurance tools for your next job. Get in touch with us today.
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Commercial General Liability (CGL) insurance will respond to liability resulting from damage to third parties. It does not cover damage to the insured property or injury.
Any accident occurs due to an insured mishap, negligence or occurrence unintentionally, liability insurance will protect the insured from financial losses.
The insurance covers the legal obligation to pay compensatory damages to a third party in the following categories:
- Personal injury
- Bodily Injury
- Property Damage of the other party
Commercial property policies protect the insured against damage to its property from various risks. Most importantly, The loss or damage must be fortuitous -- accidental, out of the ordinary or unexpected.
Insured's loss result by accident will be covered, subject to policy exclusions.
The course of construction insurance is specialized property insurance applied by contractors to protect against physical loss or damage to a structure or project they have contracted to build. The insurance usually remains active until the project completion.
The insurance starts when the project begins. It covers all property for the construction project, including installation, repair, and temporary property located on-site such as scaffolding or forms.
Builders risk often underwrite property with soft cost and hard cost. Should any claims happen, building material damaged on site will be covered, adding work done on-site. A typical example, such as a half-done basement flooded, the contractor's cost to remove and redo the work will be covered, not just the material to replace.
The course of construction insurance coverage includes:
- Fire, Explosion, Impact by aircraft or vehicles, Riot, Vandalism and malicious acts, Windstorm, hail and rain, Burglary and theft, Lightning, Collapse and Subsidence
In summary, the Course of Construction Insurance types of insurance is not catchall insurance. Be careful to review as some insurers will include exclusion on soft costs too.
You may want to consider the following addon: they are not part of the coverage for a typical builder's risk insurance policy.
Equipment breakdown, Tools and equipment floater, Commercial Auto
Professional Liability insurance, also known as Errors and Omissions (E&O Insurance), protects your business from claims of negligence related to a professional service. In the construction insurance types of insurance, this should be considered by trades such as electrician, architect, engineers, plumbers and others.
Businesses that provide professional services or give advice to clients should consider purchasing professional liability insurance. It protects when a business owner is sued for negligence because their work doesn't meet a client's expectations.
Businesses that should carry professional liability insurance can include:
|Attorneys,||Engineers,||Real estate agents,|
Professional liability policies are distinct from general liability (CGL) policies that commercial liability insurance won't protect against these risks.
Professional liability insurance protects a business against actual or alleged errors and omissions when providing professional services, such as giving incorrect advice, an omission, or failing to deliver a service.
Professional liability insurance can also offer coverage for claims arising from services provided in the past and work performed anywhere in the world.
The insurance is highly specialized and tailored to professional services. The liability that professionals face for failing to exercise the required degree of care and skill in providing services is very different from the standard commercial risks covered by CGL insurance. Therefore, CGL coverage Liability does not substitute professional services.
In the construction insurance type context, architects, electricians, plumbers or engineers acting as consultants or directly involved in a project must have professional liability coverage in their professional capacity.
However, not every act performed or an error made by an architect, engineer, or other professional covered by an E&O policy: to attract coverage, the mistake in question must constitute the performance of a professional service.
There will be a test for whether a particular activity will be considered a "professional service." It analysis if a service provided would constitute both mental or intellectual exercise from an application of specialized skill or knowledge and requires training to the situation involved.
In short, should a non-professional can do the task well, then E&O insurance does not cover it.
This analysis is based on a case by case circumstances. In all cases, a skilled person must perform the activity alleged to be a professional service in their professional capacity.
This insurance policy intends to provide peace of mind that everyone involved in a project is adequately insured. Wrap up insurance is comprehensive blanket coverage that protects the owner, contractor, subcontractors, and consultants for Commercial General Liability, Professional Liability and Employers' Liability, among other liability risks.
Wrap up insurance very effective in ensuring that all of the liability risks are covered adequately. It avoids the need for contractors and subcontractors to have separate liability insurance of their own, thus avoid potential coverage gaps of insufficient limits when dealing with various insurance policies.
The Wrap Up Insurance has a term encompassing the period of construction of a project plus an additional number of years after completion to deal with any issues arising during the warranty period.
With wrap-up insurance, individual CGL insurance policies will not provide any coverage; all party's liability policies will no longer be available to project claims subject to the global insurance policy.
The wrap up insurance policy will result in contractors having access to higher policy limits at a lower cost. It extends over an additional length of time after project completion, which means that the owner has security and coverage after project completion.
It usually serves as all-encompassing insurance on large projects costing over $10 million that protects all their contractors and subcontractors.
There are two types of wrap-up insurance, namely owner-controlled and contractor-controlled.
The owner of a project sets up owner-controlled insurance wrap up insurance to benefit the builder or contractor to cover all listed contractors.
The general contractor sets up a contractor-controlled insurance program to extend coverage to all the contractors and subcontractors signed up on the project.
For example, consider an owner-controlled insurance program purchased by the owner on behalf of the builder or contractor. The insurance includes bodily injury, general liability, excess liability, pollution liability, professional liability, builder's risk, and railroad protective liability. While wrap up insurance costs can be expensive, but the price will make sense when divided among the general contractors and sub-contractors.
Wrap Up Insurance Coverage
Types of Wrap Up Insurance Coverage from construction insurance types of policies insurance
Wrap up insurance is crucial in the construction insurance types coverage as it covers several risks for you, your project, and your workers. Policies can vary but may include:
General Liability with a Broad Form Endorsement
For a project's general liabilities, this coverage will protect claims from third-party injuries that occur on the site or any injuries resulting from work-related activities by the contractor, subcontractor, or owner. Also, it protects the third-party property against damage caused by anyone covered under the policy.
Builders risk covers for any water, weather, and fire damages to a building under construction. In other words, builders' risk is essentially the same as property insurance, except this covers buildings under construction.
The Umbrella Liability Insurance
Umbrella insurance will provide blanket coverage beyond the coverage limit for a general liability policy. A typical example of a 10 million umbrella policy is an 8 million dollar claim, and the general liability insurance will cover the first $2 million. In comparison, the umbrella policy would cover the remaining $6 million.
Commercial Automobile Insurance
This insurance covers commercial-used vehicles, vans, trucks, or specialty vehicles for construction projects against liability claims and property damage.
This coverage will protect property damage for parties named.
If required, you can select external "floaters" for specialized equipment and inland marine insurance for tools and equipment transported to and from the job site.
Other Business Insurance Coverage You May Need
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Small Business Owner Insurance Policy (BOP)
A small business owner policy (BOP) could consist of a couple of coverages pack. The adhering to are the eight most common insurance policy coverage types that an entrepreneur must recognize.
Commercial General Liability
- This coverage protects if bodily injury, property damages, injury or advertising injury incur with your business.
- Have this coverage part of small business owner insurance to defence when business earnings and extra expenditure is at risk.
- Secure against a business when found responsible for an issue with one of the items they offer.
- If a business gives professional guidance or provides a professional opinion, it should probably carry professional liability insurance.
The Course of Construction Insurance,
- Secure against construction If you are in the renovation or construction of buildings.
- Defence against tools or equipment breakdown. (It can be a furnace or machine) when it requires time and money for a replacement.
- Secure against your property or stocks
- Bundling a small business owner package (BOP) to with business use vehicle including transport of cargo.
Employment Practices Liability
Electronic Data and Equipment
Valuable Papers and Records
Job site Short-Term Pollution from Pollutants
Blanket Insurance on valuable property
Limited Property of Others Liability
We focus on providing you with the best coverage for every project. Consider getting the coverage that will grow along with your business. To get the right insurance tools for your next job, get in touch with us today.