Tools and equipment insurance, a type of inland marine coverage, protects portable tools and equipment against theft and damage on the jobsite, in transit, and off premises. It fills the gap left by property coverage, which stays at a fixed location, and auto coverage, which does not cover the contents of the vehicle.
Why standard policies do not cover it
Commercial property coverage protects items at a stated address, not gear that travels. Commercial auto covers the vehicle, not the tools inside it. So a toolbox stolen from a truck or a piece of equipment damaged at a jobsite can fall between both policies. Tools and equipment coverage is built for mobile property and follows your gear wherever the work takes it, which is why tool-heavy trades carry it.
Scheduled, blanket, and rented equipment
Coverage comes two ways. Scheduled coverage lists specific higher-value items by description and value. Blanket coverage covers unspecified small tools up to a per-item and total limit. Most contractors use a mix. Rented or leased equipment is a separate consideration, and contracts that make you responsible for rented equipment need coverage that responds to it. We size the limits and structure to your actual inventory.
The limits and exclusions to watch
The places claims get reduced are familiar: per-item limits too low for your best tools, total limits below your real inventory, deductibles, and unattended-vehicle exclusions that deny theft from a truck left overnight. Older tools may be valued at actual cash value rather than replacement cost. Reading these terms before a loss is what keeps a theft claim from paying a fraction of what you lost.
How we handle it
We inventory your tools and equipment and set scheduled and blanket limits that actually match what you own. We add rented and leased equipment coverage where your contracts require it. We check the deductible, valuation, and any unattended-vehicle terms so a real theft is covered. And we coordinate it with auto and general liability so nothing falls between policies.
