Tools & Equipment Insurance
Your tools are your livelihood. A contractor without tools can't work — and replacing stolen or damaged equipment can cost thousands. Tools and equipment insurance (a type of inland marine coverage) protects your hand tools, power tools, and portable equipment against theft, damage, and loss — whether they're in your truck, at a job site, or in storage. Standard commercial auto and property policies don't cover your tools. This policy fills that gap.
Coverages we place
- Theft from vehicles (locked or unlocked, with varying deductibles)
- Theft from job sites and temporary locations
- Accidental damage and breakage
- Fire and vandalism damage to tools
- Rented or leased equipment coverage
- Newly acquired equipment (automatic coverage for a defined period)
- Replacement cost valuation (not depreciated value)
- Coverage anywhere in the US and Canada
Who needs this coverage
Electricians, plumbers, HVAC technicians, carpenters, painters, roofers, landscapers, concrete contractors, drywall installers, flooring contractors, and any trade professional who owns or uses portable tools and equipment for their work.
What drives your premium
- Total value of tools and equipment to be insured
- Type of equipment (hand tools vs. power tools vs. heavy equipment)
- Storage and security (locked vehicle, job site trailers, GPS tracking)
- Claims history for theft and damage
- Geographic area (urban areas have higher theft rates)
- Deductible selection
Common exclusions
- Normal wear and tear
- Mechanical or electrical breakdown (covered by equipment breakdown)
- Tools left visible in an unlocked vehicle
- Employee theft (covered by commercial crime/fidelity)
- Earthquake and flood damage (unless endorsed)
Frequently asked questions
How much does tools and equipment insurance cost?
Tools insurance typically costs $300–$1,500/year depending on total value. A $25,000 tool inventory might cost $375–$750/year — far less than replacing even a few major tools after a theft.
Does my commercial auto cover tools in my truck?
No. Commercial auto covers the vehicle, not its contents. If someone breaks into your work truck and steals $10,000 in tools, your commercial auto policy won't pay. You need a tools and equipment floater.
Does homeowners insurance cover my work tools?
Homeowners policies may cover a small amount of business property at your home, but they exclude tools at job sites, in vehicles, and limit business property severely. A dedicated tools policy is the only reliable coverage.
Related coverage
Get a free quote or call (321) 206-8035.