If your equipment is stored at the place you do business you will need to obtain property coverage that lists your more expensive equipment. Property Insurance Coverage for construction equipment is readily available. This will protect you from any losses to your equipment while they are located at your place of business. If you keep scrolling you will see a number of tips on how to avoid serious disruption to your business that can be caused by loss of your equipment.
An Inland Marine Insurance Policy is the best way to protect your equipment on a job site. According to the National Equipment Register, over 11,493 heavy equipment thefts were reported in 2015, and only 23% of the equipment was recovered. The replacement of equipment is an expensive business. An affordable Inland Marine Policy is easy to get to protect the lifeblood of your business, your equipment.
Inland marine insurance covers losses to the following types of business property:
- Property that is moving over land between locations, such as excavators being transported to a building site.
- Property that you keep at an off-site warehouse, like tools and the like.
- Property that is stored in a moving vehicle. This will cover your work equipment that is in company vans and trucks.
- High-value property stored at your fixed location. This is generally not covered by your property coverage.
Builder’s Risk Insurance is also a type of Inland Marine Insurance. It covers a construction project while they are being built. Owners, contractors, and architects can purchase these policies to insure against property damage and losses, theft on a job site, and business interruption. Typically they are for new residential and commercial construction, remodeling, and renovation.
So How Do You Keep From Incurring Unnecessary Costs?
A cheap Inland Marine Insurance Policy takes away the financial burden suffered from equipment theft. However, even if you have insurance you still will want to employ the following measures to safeguard your property.
It is important to remember that even if you are compensated for the loss of equipment you will still have the expense of lost productivity while your property is being replaced.
Fencing your construction site and increasing security is a good idea. But is it enough? Construction projects are not just at risk of being robbed by outsiders. Job site theft is a common occurrence. Some employees take one or two items from the tool kit. The loss of solitary items may not be considered a big deal.
However, constantly replacing tools will cause financial strain. In this article, let’s take a look at steps you can take to reduce your risk of equipment theft. We will also show how Inland Marine Insurance will protect you from the financial burden when your security steps fail.
Causes Of Theft:
1. Poor Site Security
Many construction sites are left unguarded during the night and the weekend. They lack proper surveillance and security. Construction Insurance will pay for losses when your security measures fail.
2. Key Sharing
It is always advisable to allocate a different key for each set of equipment. Having one key makes it so much easier for thieves to access your equipment. You should also consider limiting access to fewer employees.
3. Inadequate Supervision
One of the best ways to stop employees from stealing equipment is by constantly being around the job site. Your presence may discourage the theft of company resources.
4. Poor Storage Practices
At the end of the day, most employees leave their equipment at their workplace. Create a storage system that requires all employees to hand in equipment before leaving the site.
In addition, provide adequate storage for all equipment. Creating a secure worksite shed is also a good idea.
What Are The Implications Of Theft?
Builders Risk insurance plays a crucial role in offering protection during an ongoing construction project. Having a good insurance partner will save you from:
- Incurring Replacement Costs: Once provider will cover the cost of replacement. You will avoid expenses associated with purchasing or renting equipment.
- Rent Equipment In The Interim-If you cannot afford to purchase new equipment you may consider renting it. This option is only great for a short period of time. Renting expensive equipment over a long period will definitely stretch your cash flow.
- Construction Insurance Prevents Project Delay-Replacement of stolen equipment could take time. Especially if you lack the financial resources. Inland Marine insurance will save you time by replacing your equipment after a successful claim
- Increase of insurance premiums-Insurance is often high for construction sites as they are high-risk areas. Having a good security system in place works in your favor as it reduces your risk and consequently your premiums. It is important to keep in mind if you have a number of losses your premiums can easily double or triple. In some instances, you may not even be able to find coverage at any cost.
Construction Insurance From ContractorsLiability.Com
Construction Insurance will protect your company from financial strain as well as giving you peace of mind. Theft is a rampant crime on construction sites. Taking care of your property should be at the top of your list. We would love to be part of your journey. Protect your business from loss with the Construction Insurance experts. Call now or click ContractorsLiability.Com today.