5 Ways Equipment Floater Insurance Coverage Protects Contractors

Many types of contractor businesses rely on equipment floater insurance coverage for protection. As the owner of a contractor business, you need this type of insurance to keep your frequently moved assets safe and your profits high. Too many business owners focus only on getting business life insurance. As a result, they neglect to realize the importance of other insurance policies. Whether you own a landscaping, construction or plumbing business, you need floater insurance. It can guarantee you a better financial situation in the case of an accident or disaster. In this post, you will learn the top ways equipment floater insurance coverage protects contractors.

Hand Tool Coverage

Firstly, equipment floater insurance plans offer hand tool coverage. Many other insurance plans fail to recognize the importance of small hand tools because they are less valuable than larger pieces of equipment. However, if you own a landscaping business, small tools are necessary to complete jobs. The same goes for companies that profit from remodeling commercial spaces. Furthermore, they can be expensive to replace. You may be able to afford one or two new hand tools here or there. If your employees accidentally break a dozen small tools, the cost to purchase new ones adds up quickly. To make matters worse, you will need to buy new tools immediately in order to continue working efficiently. With equipment floater insurance coverage, you can keep your prices down while still bringing in cash flow.

Expensive Machinery

Equipment floater insurance coverage also protects contractor companies’ expensive machinery. While hand tools are typically easier to accidently damage during the job, employees often tarnish expensive machinery as well. If you own a construction business and one of your employees breaks the new forklift you just purchased, you will need to either repair it or buy a new one. If you have equipment floater insurance, you will not have to worry about the high cost of a repair or the higher cost of buying a new forklift. Your insurance company will take care of it and you and your workers can complete your construction job in a timely manner.

Vandalism Protection

Because vandalism is an unfortunate yet common type of destruction, equipment floater insurance policies include it in their coverage. If you are considering applying for equipment floater insurance, you move valuable pieces of equipment on a regular basis. Therefore, you leave harder to move pieces of equipment at project sites. Such equipment often undergoes various forms of vandalism like graffiti when left in certain areas. If you show up to your construction site in the morning and find that your bulldozer has been decorated with inappropriate graffiti, your insurance company can assist you in fixing the issue. Companies that fear that their equipment could be vandalized need equipment floater insurance coverage.

Rented Equipment

Equipment floater insurance covers rented equipment as well. Many contractors agree to taking on jobs that they do not have the proper equipment for. To complete the duties that they signed a contract for, they have to rent equipment from other companies. If you fall into this category, understand that rented equipment is just as prone to being damaged as your own equipment. In order to assist contractors in avoiding hefty fees for repairs on rented tools, equipment floater insurance companies offer coverage for rented equipment.

Natural Disasters

Finally, equipment floater insurance provides contractors with coverage for natural disasters. As a business owner, you need to be prepared for unexpected weather conditions. Depending on the equipment your business uses, various weather conditions could be detrimental. Companies that function in areas where tornadoes are relatively common, their machinery could be ruined at any given time. To refrain from paying for new equipment due to damages that were not necessarily your fault, get equipment floater insurance as soon as possible. In addition, implement an emergency services preparedness plan to keep employees safe during natural disasters.

As a contractor, you can operate your business without the constant fear of property damage by getting equipment floater insurance. With this type of insurance, you gain coverage for small hand tools that many types of insurance policies do not consider valuable. In addition, you also obtain protection over your pieces of large, expensive machinery. Floater insurance companies assist contractors with any vandalized equipment costs. Such policies also protect any rented equipment that you may use for various jobs. Lastly, avoid paying large bills due to damages that occurred from natural disasters. For these reasons, contractor businesses need to apply for equipment floater insurance today.

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