What is Portable Equipment Cover?

Many small business owners in New Zealand may find themselves working at multiple locations each day. Many of those small business owners take tools or portable equipment with them from job to job. Often this equipment is highly specialized and can be very pricey.

Have you ever paused to ask yourself what you would do if your portable equipment were to become lost, damaged or stolen? How would you get the job done with limited tools? Would you suffer loss of reputation due to being unable to meet your deadlines? Could you afford to replace your tools and equipment quickly and easily, or would it take you a few days or even weeks to gather the funds to do so? What would you do in the meantime?

Fortunately, there is an insurance product to give you peace of mind should the worst happen to your portable equipment. Portable Equipment insurance (also known as General Property insurance) covers you for loss and damage to items of portable equipment associated with your business. These can include tools of trade and items of stock.

Did you know?

• Cover is limited for unspecified items.
• If the loss occurs by theft, you will be required to demonstrate that you had secured the specified property as required by the policy terms and conditions.

What’s typically covered?

Loss or damage that is caused by:

• Fire, storm, water, explosion, impact or malicious damage
• Accidential damage
• Collision or overturning of the conveying vehicle
• Theft following forcible and violent entry to locked vehicles or locked buildings;
• Theft of equipment securely attached to a vehicle through the use of locks or padlocks

Specified portable equipment can include items such as:

• Mobile plant
• Photographic or video equipment
• Mobile communication equipment, including telephones and radios
• Electronic equipment, including computers, diaries, GPS units
• Accessories for the items listed above

What’s typically NOT covered?

Loss or damage to your portable equipment that is caused by:

• Wear, tear or gradually developing conditions
• Cracking, scratching, marring or breakage of glass or fragile items or surfaces
• Rust, oxidation, mildew, mould, moths, insects, vermin, dry rot, contamination or pollution
• Any process of heating, drying, cleaning, dyeing or alteration to any insured item
• Faulty materials or workmanship
• Theft by employees
• Unexplained inventory shortage

Things to consider

1. Does your business rely on portable property (such as tools)?
2. Does your portable equipment have a combined value, such that replacement or repair of the equipment could put your business under financial stress?
3. Is your portable equipment stored in the open air or is it secured? Your policy wording is likely to explain how your portable property is required to be securely stored for it to be covered by your insurance.