Mobile Equipment

You might think a policy designed to protect autos and trucks a business uses would cover any type of vehicle. That is a dangerous assumption, at least with regard to providing complete protection.

There are instances when coverage for damage to certain types of vehicles and the legal responsibility for their use may have to be covered by two different policies. Mobile equipment falls into that nether region of insurance coverage.

The simple distinction between regular commercial vehicles and mobile equipment is that, while vehicles have the primary purpose of transporting persons or property, mobile equipment's primary purpose is to perform the special function of the particular equipment. With the latter property, its mobility merely gets the equipment to a site to complete a job.

Because of this difference, mobile equipment qualifies for coverage under:

• A commercial automobile policy when the loss involves operating the property as a vehicle, particularly traveling to and from job sites while being loaded, entering in and out of it, and in similar circumstances.
• A commercial property or general liability policy when the loss involves operation of the property as equipment. Generally, the equipment is parked and anchored during such use.>

Many types of mobile equipment are used in construction, mining, farming, commercial cleaning, sign installation, roadwork and other heavy-duty work situations. The variety of mobile equipment, consisting of self-propelled units and trailers, is endless.

Examples of Mobile Equipment

Though not an inclusive list, examples of mobile equipment include:

When you have to protect a vehicle that also functions as equipment, be sure to discuss your proper coverage needs with an insurance professional.