Rental Equipment Liability coverage protects equipment dealers and rental customers from damage to other people’s property or bodily harm while using rental equipment. Most rental customers do not carry adequate liability coverage for rental situations, leading some dealers to decline rental customers in order to avoid risk. Offering rental customers the option of purchasing Rental Equipment Liability facilitates rental sales and defers risk from dealers and their customers.
Due to our focus on equipment dealers, we have direct insight into the needs of our dealers and the equipment industry as a whole. Our dealer clients have asked us for a liability protection option to manage risk in their rental programs even further. The story below describes an actual claim that we eventually did cover, however, most insurance companies would have denied it. *The specific details are modified to protect those involved.
“My customer rented an excavator and during his project, he accidentally knocked down a power line. While there is little to no damage to the equipment, the damage to the power company’s property is extensive.
“The power company tried to recoup their losses from the contractor but was getting nowhere. Now they are coming after me saying that I am responsible for renting my equipment to an uninsured customer. What should I do?”
Because the rental customer lacked liability coverage, the dealer was asked to pay for damages. Rental Equipment Liability from JT Bates Group prevents these circumstances from happening to your dealership while helping to grow your rental sales and make your whole rental program more profitable.
However, before we launch Rental Equipment Liability, we need to get your feedback and include you in the conversation.