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Blog Articles: Are you a contractor, builder or other construction professional? If so, you should consider an Inland Marine policy. Give West Florida a call and we can provide you a quote today!


Inland Marine Insurance tends to throw people for a loop since its name is so contradictory. However, if you are a construction professional or contractor, this type of Property Insurance policy is essential to your overall construction business protection plan because it safeguards your tools, equipment, and unfinished construction projects from loss or damage.

Keep reading to discover what Inland Marine Insurance is, how it protects your construction & contracting business property, and how your business benefits from this type of coverage.

Inland Marine Insurance: Protecting Construction & Contracting Professionals on the Move

Inland Marine Insurance was born from the early days of business when companies had to ship their good overseas. In those days, the protection of a ship's cargo was called Ocean Marine Insurance. But as businesses started to rely on other means of transport for their goods, Inland Marine was created to compensate businesses in the event of lost or damaged business assets on the move. To keep up with the times, this policy even evolved to protect digital information and data.

As a contractor or construction professional, your work regularly involves the transport of equipment, tools, and supplies to and from your worksite. While your valuable business assets are in motion, Inland Marine Insurance ensures their replacement should an accident, theft, or loss happen along the way. It can also include tools, both expensive and inexpensive, that your construction or contracting crew takes with them when they perform a job.

Inland Marine Insurance commonly includes coverage for the following types of property:

  • Property in transit, such as contractor's tools and supplies.
  • Buildings under construction.
  • Computer equipment.
  • Data and accounts receivable, such as accounting software, lead-tracking data, policies, procedures, and other electronic assets.
  • Mobile equipment, such as forklifts, dozers, track hoes, maintainers, loaders, etc.

Beyond transit, Inland Marine Insurance also covers property that doesn't move, such as buildings that are under construction. This kind of coverage is called Builder's Risk Insurance.

You can add Inland Marine coverage to your Property Insurance policy if it is not already included. Ask your agent to determine what coverage is appropriate for your construction & contracting business needs.

Contractors & Construction Professionals: Inland Marine Coverages

Construction companies and contracting businesses have many business assets that are not only valuable, but also imperative for their work. No matter the location — be it a work truck, jobsite, or storage location — Inland Marine Insurance covers equipment and tools that are stolen, damaged, or lost.

When shopping for coverage for your construction or contracting business, keep the following policies in mind.

Contractor's Equipment

Specifically for contracting & construction businesses, this kind of policy can cover the cost of replacing lost, stolen, or damaged equipment that is less than five years old. Your new equipment can be easily covered, too. Contractor's Equipment coverage can even extend to include smaller tools and equipment, including your employees' tools. Some policies include protection for contractors who lease or rent out their equipment, and can reimburse you for their replacement value.Talk to you agent to see if this kind of coverage is appropriate for your small construction & contracting business.

Builder's Risk Insurance

Usually included in your Inland Marine policy is Builder's Risk Insurance, a special type of Property Insurance that covers damage to buildings while they are under construction. Say a tornado destroys a building during its construction, and your Builder's Risk policy is for the replacement value of the building. Your policy would kick in to cover half of the completed building's value. Because this policy protects the hard work, time, and investment of everyone involved in the project, Builder's Risk coverage may be required as a condition to many contracts or part of building code compliance.

Builder's Risk coverage protects against unforeseen events such as fire, tornadoes, vandalism, and more. However, depending on where your jobsite is located, this policy typically does not cover earthquakes or floods. Coverage is typically only extended during the construction period, and is intended to end when the work has been completed.

Custom Policies for Contractors & Construction Professionals

Custom Policies for contractors & construction professionals can help you find a policy that adequately protects your business against risks and uncertainty. As you shop around for business insurance for contractors & construction professionals, be sure to ask about Inland Marine Insurance and if it's the appropriate coverage for your contracting & construction business.

Original Source

2018-10-23 16:10:02