Auto mechanic tools got stolen in robbery, but insurance won't cover $20,000 loss??!?
Question:
We contacted the insurance company for our house, they said the tools are not covered, since it's used for business.
What can we do?
talk to a lawyer. first contact always free
I had a similar problem. My home garage was broken in to and my professional tools were taken. The insurance company wouldn't cover them without a rider for "professional tools" in my home garage. I would check with the shop owners insurance company as to how to procede.
wow, the same thing happened to me last week, only it was my car that was stolen, and tools of the mechanic, I heard the same thing that much can't be done about the tools, I'm not sure what to tell you aabout that, but in the future, find a way to keep them securely locked up that they can't be moved or taken. The problem with where I went for my car, I see now that it was not a secure place.
Nothing now, it's too late. If the shop won't cover the loss, which I think is chickensh-t, by the way, you need to buy insurance to cover the new tools he is going to buy.
My son is a diesel mechanic and the company he works for insures his tools from theft. He just has to provide them with a tool inventory.
I'm sorry for your husband, that's a big loss.
Speaking as an AIC and former adjuster (I currently oversee insurance claims handling).. the Boss's policy will usually only cover the Personal Property (PP) that is in his care, custody and control. Typically, tools that belong to the employee are not covered under a business owners policy.
However - if you have homeowner's or renter's insurance - the tools would be covered under that policy. You will have to show proof they existed (recpts, photos, etc) and your policy may only cover actual cash value (ACV). (The cost of the used item - not the value to replace it.. BIG DIFFERENCE! Most people don't get this)
If you can afford a replacement cost value (RCV) policy - go for it. That means the coverage will pay for the full cost of replacing the item..
less your deductible of course.
Soooooo.if you've got the coverage...call you agent (or claims dept) and file the claim. $20k is a lot to lose out on.
Goodluck!
~jifr!
Buy more tools. The shop is correct -- only items listed on the policy are covered in a loss. It sucks but that's the way it is.
I know that you have to have a business pursuits rider on the homeowners to cover professional grade tools (regardless if they are for professional use or not) The shop insurance should cover all employee's property on the premesis until it is specifically written out. If your husband is having to supply his own tools, he may be listed as an independent contractor and would not be covered under the shop owners policy. You need to sit down with your insurance agent and find out how to make sure that your husband is covered. Also, find out from his boss if he is covered for Liability if he damages a car or doesn't put a tire on tight enough and it causes bodily injury to a person. This can get much more expensive than the 20,000 you are out right now.
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