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Insurance: Liability vs. Liability and Equipment

Discussion in 'Business Operations' started by memac259, Feb 10, 2008.

  1. memac259

    memac259 LawnSite Member
    Posts: 49

    I'm curious as to how many of you guys have just liability insurance and how many insure their equipment also? Right now I just have liabilty but am considering insuring my equipment..............how did you all decide on what type of coverage you ended up with??
  2. Buddy Buds

    Buddy Buds LawnSite Member
    Posts: 146

    I have 2 million liability insurance. Just getting started I only have about $15000 in equipment. I took out $20000 Inland Marine policy on the lawn equipment and trailer. The only bad thing is mine has $1000 deductible. It won't cover a lost trimmer, only the items over $1000 or the entire inventory. I get that for $90 a month.
  3. DA Quality Lawn & YS

    DA Quality Lawn & YS LawnSite Fanatic
    Posts: 8,896

    memac - first off you did the right thing by purchasing Genl Liab. coverage for biz ops. Regarding your equipment, ask yourself this question 'If something happens to my equipment (theft, fire), what can I afford to lose, or what can I self insure?' If your equipment value is more than you can afford to replace if you have a total loss, then you will want to look at coverage for equipment, as stated above, probably on an Inland Marine type form.
  4. lawnpro724

    lawnpro724 LawnSite Silver Member
    Posts: 2,201

    Get coverage for both, cover your a$$ and your equipment. It doesn't happen very often but back in 95 a guy pulled out in front of a car I was following and slammed on there brakes leaving me nowhere to go but into them. I had a truck full of grass and trailer full of equipment that went everywhere when we collided. It was a nice 6-7 car/truck pile up. The car in front of me hit the car in front of him and I hit him and someone hit me. My new Toro tractor was totaled along with 3 21" prolines , blowers and trimmers. Everything was laying in the street except for the tractor which flipped over the trailer and slammed into the back of the truck. Thank myself for having insurance but even with insurance it takes time to get your money and then more time to replace equipment. I ended up borrowing equipment from a friends lawn business for a few weeks till I was able to replace mine. Oh and the truck was total loss as well.
  5. Richard Martin

    Richard Martin LawnSite Fanatic
    Posts: 14,700

    I have liability and equipment insurance too.

    FIRESCOOBY LawnSite Senior Member
    Posts: 981

    I hear you guys talk about INland Marine. Can anyone tell me more about it? My liability policy is coming up for renewal and would like to look at other options and include equipment.

    Any places online? When I found the carrier for my policy, I called over 20 agencies and this was the only provider I could. It was through Prudential.
  7. vanderbilt

    vanderbilt LawnSite Member
    from N.C.
    Posts: 35

    I got my inland marine policy through my local Farm Bureau insurance agency; also here in North Carolina you better have a commerical policy on your vehicle insurance or if you have a accident they won't pay and you could be up the creek if it's your fault.
  8. J&R Landscaping

    J&R Landscaping LawnSite Fanatic
    Posts: 5,096

    I have a general liability and equipment coverage. Commercial auto on my two trucks.
  9. memac259

    memac259 LawnSite Member
    Posts: 49

    Ended up getting coverage on the equipment too.....Thanks for the advice!!!!!!!!
  10. TX Ins Agent

    TX Ins Agent LawnSite Member
    from Texas
    Posts: 4

    The idea behind Inland Marine insurance is that it covers your "mobile equipment" from a number of perils such as, fire, theft, vandalism, etc. It's normally a very inexpensive coverage as well. This coverage is meant for the times when a whole trailer (YES, your trailer should be on this policy too...carry auto liability only on the trailer and then carry it on your Inland Marine for the theft...it's cheaper this way) is stolen with deck and/or push mowers aboard along with weedeaters, blowers, tools,etc. If you lose a blower..buy a new one...but if someone steals your trailer full of equipment so they can start their own lawn business...they in essence just bought you all new equipment. That's the idea of having a $1,000 deductible...it makes it cheaper and keeps you from claiming the little stuff. Make sure you report the new values of your equipment as if you had to replace them today...not what they cost you new two seasons ago. It may cost a couple extra bucks, but you'll want to be paid enough to be able to replace them or at least close.

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