Heavy Duty Coverage for Heavy Duty Equipment
At the end of 2016, we looked forward to positive growth in the construction sector. As mentioned in our If They Build It, We Will Come December 2016 newsletter article, Dodge Data & Analytics anticipates the total U.S. construction starts to advance 5 percent in 2017 to a whopping $713 billion.
It should come as no surprise then, that the sale of construction equipment would follow suit. When it comes to contractor’s equipment, EDA is the industry expert, boasting a comprehensive data platform that is comprised of 1.5 million equipment buyers. According to EDA, sales and leases of new equipment in the U.S. were up 7.8 percent through the first eight months of 2016. This is the highest level since 2007, and they don’t see sales decreasing anytime soon.
The emergence of more equipment and more equipment buyers presents a growing need for contractor’s equipment insurance. Despite the heavy-duty nature of these exposures, contractor’s equipment can take some seriously heavy hits. Take these real-life claims for example:
Despite the protection of an 8-foot plywood fence around the perimeter of the job site, some disgruntled person threw a Molotov cocktail firebomb into the job site causing extensive damage to the insured Komatsu excavator stored at the job site. The arsonist was never caught. The machine was a total loss. The replacement machine cost $112,000, and the dismantling and removal of the fire-damaged machine cost $7,500.
While performing some underpinning work, the ground gave way causing an excavator to roll over. The unit was repairable at the cost of over $47,000.
USLI’s Contractor’s Choice Equipment product offers many advantages including the following:
- $500 minimum premium ($350 excluding theft)
- $26,000 schedule within the minimum premium for many risks
- Flood and earthquake provided for most risks
- Broad range of classes eligible
- Replacement cost for equipment five years old or less
- Equipment automatically registered with National Equipment Registry (NER)
- Rented/Borrowed equipment available for a flat fee
Let USLI be your go to-market for contractor’s equipment, and don’t forget that our equipment coverage doesn’t end there! Our Inland Marine Select product covers a whole other gamut of equipment, from musical instruments to photography equipment. If you have equipment on the move, we have your answer!
Contact Jim Cavanaugh
Second Vice President, Senior Underwriter | 888-523-5545 Ext. 2286
Written by Ginna Briggs
March 16, 2017