Inland marine insurance provides property insurance for transportable property, such as tools or equipment used from one job site to the next. Inland marine insurance is the coverage needed by some businesses, as it will also provide coverage for goods in domestic transit, goods of bailees’ customers, moveable equipment, and other unusual property.
As you know, property belonging to a dealer that is constantly moved around, along with communication instruments and most other property involving transportation are also covered. In a nutshell, your property insurance company provides coverage for loss exposures to the property of customers that can’t be conveniently or otherwise reasonably confined to a fixed location.
Determining your need for Inland Marine coverage
Often referred to as a “floater” policy, an inland marine policy will normally offer your clients broader coverage they require. They will likely need to be insured if any of the following fits their business model:
- Are they required to move your business property from location to location?
- Is the property (or equipment) often moved off-premises to different locations?
- Are there times that their business requires the moving of property and equipment to other, temporary locations (perhaps another business entity, or warehouse)?
- Are they likely to suffer a “cause of loss” not covered by their standard property policy?
If so, this coverage will aid them in the event property is lost, stolen, or destroyed while at a facility other than the host company. Inland Marine also includes far more types of coverage than one might be aware of. These generally include, but are not limited to, builders’ risk, motor truck cargo, fine arts, guns, museums, any goods that move on land, contractors’ equipment, musical instruments, mobile medical equipment, and a host of others.
As an executive for this line of coverage you know that there’s a low barrier for entry (meaning that not as much capital is required than in other types of coverage) and there’s less regulatory oversight and filing than found in other Property & Casualty lines. As a property insurance company that specializes in inland marine policies you should be able to provide any answers to questions your clients may have pertaining to this important coverage.