Opting to purchase tool cover as part of your insurance policy will offer protection for you and your employees' tool box, handheld tools and power tools if they are lost, stolen or accidentally damaged. Your tools are often expensive pieces of equipment that you use on a daily basis and if you found yourself without them, for instance if they were stolen, you may not have the budget set aside to replace them and risk disrupting your daily work.
Tool insurance typically insures hand held power tools such as drills, impact drivers, grinders, hammers, screwdrivers, chisels, spanners, saws, sanders and more. You could also request equipment insurance for other business equipment you use such as ladders, portable office equipment like laptops or other hand held devices you may use in the day to day running of your business. Policy terms will differ, so it’s important to read the details carefully before you buy.
What may not be covered when taking out tool insurance?
Using your tools everyday subjects them to general wear and tear and potentially loss in performance, this would not be covered by your insurance. Tools insurance is designed specifically to cover the event of loss, theft or accidental damage.
It’s also important to ensure that your tools are kept securely and locked away when not in use. For instance, theft from unattended vehicles may be excluded, but you can purchase an extension to account for this gap. Because motor insurance does not cover the tools and equipment inside your vehicles, tradesmen usually purchase commercial vehicle insurance and a business insurance policy which includes van tool insurance and van contents insurance. It’s advisable to check when you purchase your cover if there are any restrictions.
Keeping your business tools and equipment safe
Work tools are crucial to ensure you can run your business efficiently. With the right tool insurance in place you can work without worry, but there are simple steps you can take to keep your tools safe and minimise disruption to your business:
- Take tools out of your commercial vehicle and keep them in a secure location overnight
- Install security systems, such as CCTV and alarms, wherever you keep your tools
- Mark your tools with invisible ink, to increase the chances of recovery if they’re stolen
- Keep an inventory along with receipts for your business equipment so you know what you have and its value should the worst happen
Get tools insurance quotes
We arrange insurance for many types of contractors and tradesmen and can include tools cover within a tradesman and self-employed insurance policy which typically includes public liability insurance and optional extra insurance covers such as tool insurance, employers liability and business interruption.
So whether you store your tools in a workshop or at home, it's important to make sure you have the right cover for them. If you know what you need you can get multiple quotes in just a few minutes online today or if you need advice, call to speak to our advisors. They’re on hand to talk you through your tool cover options and find the right insurance for you.