Construction Insurance 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 affair.
So how do you keep from incurring unnecessary costs? Builder’s Risk insurance takes away the financial burden suffered with equipment theft.
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. Jobsite 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 Builder’s Risk 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 jobsite. Your presence may discourage 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 during construction. Having a good insurance partner will save you from:
Incurring Replacement costs
Once equipment is stolen then you will need to replace it quickly to keep the project going. This could be expensive in the absence of Construction Insurance. If you have Builders Risk coverage your insurance provider will cover all the costs 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. Builder’s Risk insurance will save you time by replacing your equipment after a successful claim
Increase of insurance premiums
Insurance is often high for construction sites in high risk areas. Having a good security system in place works in your favor as it reduces your risk and consequently your premiums.
Construction Insurance From Contractors Liability
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 Contractors Liability on 888-676-0923 today.