As a contractor – do you have the right coverage for your property until installation is accepted? Did you know the standard commercial insurance policy does not include an installation floater or coverage for your equipment or supplies that are used for installation at your client’s location?
What is an installation floater:
- Provides coverage for property of the insured & property of others while on the premises of installation while awaiting and during installation & testing (example: HVAC, appliances, flooring or other objects at your client’s location awaiting installation)
- While in transit to or from the premises of the installation
- Helps protect contractors from exposures during installation
Exclusions:
- Temporary Structures
- Structures that are not part of a construction job
- Landscaping items
- Fencing
- Scaffolding
- Retaining walls
What information is needed to provide a quote for an installation floater:
- Estimated average value at each job site
- Estimated number of jobs at any one time
- Average duration of each job
- Annual gross receipts from installation – including material, labor, reasonable overhead & profit, delivery or maintenance, installation, construction, supplies
Installation Floater VS Builders Risk
- Cost
- Installation floater is less expensive than builder’s risk
- Installation floater better suited for contractors performing specific installation task
- Type of project?
- Builders Risk typically for more comprehensive, larger projects where you may have a financial stake in the outcome
- Installation floater covers the named insured for specific materials & equipment on projects named within the policy
- Policy Coverage
- Builders risk may have exclusions for equipment
- Installation floater can cover specific tools & equipment