Plant & Machinery Insurance
Plant and machinery insurance relates to equipment such as excavators, loaders, forklifts, cranes and tractors. It can also be extended to smaller equipment and tools.
Machinery often moves between sites or sits on job sites overnight. A policy can be arranged around where and how the equipment is used.
Who this insurance may suit
- Earthmoving and civil contractors
- Builders and construction companies
- Farmers and agricultural contractors
- Warehousing and logistics businesses using forklifts
- Plant hire businesses
- Port, mining and industrial operators
Why this cover may be important
Machinery represents a large investment for many businesses. Damage or theft can stop work and create a gap in cash flow.
Finance companies often require plant to be insured. Hire contracts may also set out the cover the hirer needs to hold.
Potential areas of cover
Cover varies between insurers and policies. Depending on the policy, cover may include:
Accidental damage
Cover may include damage from collisions, overturning, fire or storms, depending on the policy terms.
Theft
Theft of plant from sites or yards may be covered, often with security conditions.
Third party liability
Some policies include liability for injury or damage caused by operating the machinery.
Machinery breakdown
Optional cover may respond to sudden mechanical or electrical breakdown, subject to exclusions for wear.
Hire in and hire out
Cover may extend to plant you hire from others, or plant you hire out, depending on the arrangement.
General equipment and tools
Portable equipment, generators and tools may be insured under a related section or separate policy.
Common risks
- Machinery overturning on uneven ground
- Theft from unsecured sites
- Fire in an engine bay or hydraulic system
- Collision with structures or other vehicles
- Storm or flood on an exposed site
- Sudden breakdown halting a project
What may not be covered
Every policy has exclusions, limits and conditions. Some common considerations include:
- Wear and tear, gradual deterioration and lack of maintenance are generally excluded.
- Operators may need to hold the right licences or qualifications for the equipment.
- Security conditions such as immobilisers or locked compounds may apply to theft cover.
- Plant registered for road use may need separate motor cover for on-road use.
- Underground or waterborne use may be restricted or need disclosure.
Always read the Product Disclosure Statement and policy wording. Your broker can explain how they apply to you.
Why work with Tasman Insurance Group
- We take time to understand your business or circumstances before discussing cover.
- Where applicable, we approach suitable insurers and compare the options available.
- We explain exclusions, limits and excesses in plain English before you decide.
- We help with changes during the year, renewals and claims.
Plant & Machinery Insurance FAQs
What counts as mobile plant?
Mobile plant usually refers to self-propelled machinery such as excavators, loaders, forklifts and tractors. Definitions vary between insurers.
Can I insure plant I hire from someone else?
Some policies include hired-in plant up to a limit. The hire agreement may also set out what you are responsible for. A broker can talk through your situation.
Is breakdown included automatically?
Usually not. Machinery breakdown is often an optional extension or separate policy with its own conditions.
Are small tools covered under a plant policy?
Small tools may be included under a general equipment section or arranged separately. Limits per item often apply.
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Ready to talk about plant & machinery?
Request a quote or call us. We'll ask about your circumstances and discuss the options available.