Equipment insurance

Cover focused specifically on the equipment a business owns or has financed.

What this type of cover generally addresses

Equipment insurance is typically concerned with the physical asset itself — loss, theft, accidental damage, and in some policies, mechanical or electrical breakdown. The specifics vary considerably between insurers and policies, including where the equipment is covered (on-site only, or anywhere it's used) and what counts as an insured event.

Why financed equipment usually needs to be insured

Where equipment is financed rather than bought outright, the financier generally has a registered interest in the asset and typically requires it to remain insured for the term of the agreement. This protects their position as well as the business's — if the equipment is damaged or lost, the finance obligation doesn't disappear with it.