What is Inland Marine Coverage and who needs it?
Did you know that there are water crafts that can run on land? JUST KIDDING! Obviously this is not something we are talking about nor is it something we’d want to be insuring.
We are talking about insuring equipment or other possessions that are being transported by land, truck or train.
Inland Marine insurance is a type of business insurance that helps protect material and equipment while in transport. It its meant to help protect business property that is moveable or used for transportation or communication.
If you have high-value items or items that may be excluded by the property coverage in a standard business owners policy, this would be a policy you would want to consider purchasing. Depending on the insurance carrier you have, this could be a policy that is extended onto your current policy.
SO! What is covered?
Inland Marine insurance will cover you for theft, fire, wind, hail, and water damage. In addition, the policy may cover mysterious disappearance if the cause of loss cannot be discovered and accidental drop and damage.
REMEMBER: ALWAYS READ YOUR POLICY. You want to know what is covered and what is not covered.
Here are some things that you may find covered on an Inland Marine policy:
- Communication and networking computers
- Construction/contractor equipment
- Medical and scientific equipment
- Trade show exhibits
- Sales samples
- Photography equipment
- Cargo/items for delivery
- Tools
Coverage limits and deductibles will vary from policy to policy. Coverage, more specifically, will vary depending on the value of the item. Did we ever tell you that insurance agents favorite words were "it depends"? Well... depending on the year, the value, the use, and/or the item itself, the insurance carrier will insure the item for replacement cost or actual cash value.
Replacement cost is the actual cash value of the item minus depreciation. Actual cash value is exactly what it means. If you have a piece of equipment that costs $6,000 to replace, that is the value that will be associated with insuring the item.
If you own a business or have a piece of equipment that you are often, moving for your premises to another location, this is a policy you need to consider purchasing.
If you have questions or are in need of an inland marine policy, give us a shout!