Texas General Lines — Property and CasualtyCommercial LinesMedium
A general contractor is undertaking a large commercial renovation project. They need coverage for their tools, equipment, and materials at various job sites, as well as while in transit between sites. Which Inland Marine coverage form would be most suitable for their needs?
- ACommercial Articles Floater
- BInstallation Floater
- CBuilders Risk Coverage
- DContractors Equipment Floater
Show answer & explanationAnswer & explanation
Correct answer: D. Contractors Equipment Floater
The Contractors Equipment Floater is designed to cover mobile equipment, tools, and machinery used by contractors at various job sites and in transit.
Why the other options are wrong
- A. Commercial Articles Floater covers fine art, cameras, musical instruments, and similar items, not general contractor's equipment.
- B. Installation Floater covers property being installed until the installation is complete and accepted, not general contractor's equipment.
- C. Builders Risk covers the building or structure under construction, not the contractor's equipment.
Contractors Equipment Floater
An Inland Marine coverage form designed to protect a contractor's mobile equipment, tools, and machinery from loss or damage while at job sites, in transit, or stored.
- Covers property on a 'named perils' or 'all-risks' basis.
- Can include scheduled items or a blanket amount.
- Ideal for equipment that frequently moves between locations.
Memory trick: Marine's Many Mobile Machines Make Money.