If you are a contractor, you may wonder what type of insurance can protect the tools you use for your business. The answer is insurance for tools and equipment. This coverage can help protect your tools and equipment from damage or theft. It can also help cover renting replacement equipment if your devices are lost or damaged.

A contractor’s equipment insurance is essential if you rely on your tools to do your job. It can give you peace of mind knowing that you are protected in the event of a loss.

However, your tools and equipment are only covered in a building specifically listed on your insurance policy. Leaving your devices in your car or taking them to a job site may not be covered. Be sure to check your policy to see where your coverage applies.

Why This Coverage Is Important

Thieves often target construction tools because they sell for significant sums of money, are in high demand, and rarely have distinguishing features. It makes it difficult for law enforcement to track the stolen property and return it to its rightful owner.

As a contractor, you know that your tools and equipment are essential to your operations. They help you get the job done and keep your business running smoothly. But what happens when something goes wrong, and your tools are damaged or lost?

That is where insurance for tools and equipment comes in. This coverage can protect your business if your devices are damaged or stolen. The policy will cover your tools and equipment while they are on your commercial property and while at job sites, temporary locations, and in transit. It can give you peace of mind knowing that your business is protected in the event of an unexpected incident.

Commercial property insurance is vital to any business owner’s risk management strategy. If you still need to carry this coverage, talk to your insurance agent about adding it to your policy.

What Is Covered?

This policy will cover all your tools and equipment and any large machinery you own, like bulldozers, skid steers, and construction equipment. So, if something were to happen to any of these items, you would not have to worry about shouldering the cost of repairs or replacement.

This policy also includes newly purchased equipment. For example, if you buy a new one damaged by a fire, your insurance will cover replacing it.

Some might think this coverage is unnecessary, but it can be advantageous. Imagine if you bought a new tractor damaged in a fire. Without this coverage, you would have to pay for a new unit out of your pocket. If you are considering buying new equipment for your business, check with your insurance agent to see if it is covered under your policy.


The importance of insurance for tools and equipment must be recognized. Not only does it protect your investment, but it also gives you peace of mind in knowing that you are covered in the event of an accident or theft. There are a variety of policies available, so be sure to shop around and find one that meets your needs.

Now that you better understand insurance for tools and equipment, you should consult Pascal Burke Insurance Brokerage Inc. We can help you find the right policy to get the right coverage without exceeding your budget. So, call us now for a quote!