Excavation is a high-risk venture that requires skill and precision, yet the hazards are usually inevitable no matter how careful you are. Whether you’re digging trenches or foundations, demolishing structures, or grading land, there are lots of potential damages to deal with. Accidental property damage, equipment theft, or breakdown: excavator insurance protects you against these risks.
Like every other heavy machine, operating an excavator exposes you to many potential risks, both on-site and off-site. You could accidentally damage someone’s property, the machine might fail, or some locals could steal some parts of your excavator when you’ve closed from work. As sad as this sounds, these scenarios can leave you bankrupt.
Getting excavator insurance isn’t just a smart decision but a necessity, especially if you want to last long in the industry. With excavator insurance, your business will be protected from unexpected liabilities, and your equipment will be secure.
This article will guide you on everything you need to know about excavator insurance.
What is excavator insurance?
Excavator insurance, also known as “earthmoving insurance” or “mini digger insurance”, is a specialized type of insurance for excavators. This type of insurance protects operators and business owners from the unique risks and liabilities associated with excavation. These potential risks include workers’ injuries, damages inflicted on passersby, accidental destruction of buildings, or theft of heavy equipment.
However, with excavator insurance, no matter how severe the damage may be, you have zero worries because you know that there’s a system in place that covers it.
It is important to mention that excavator business insurance is not limited to excavators but also extends to other heavy machines used in construction and earth-moving projects.
Excavator liability insurance: Why it matters
Excavator liability insurance matters a lot because it protects your business from the financial losses and litigations that should arise from the risks associated with operating heavy machinery like excavators.
Anyone familiar with operating excavators understands that even with precision and care, accidents are often unavoidable. Hence, the question shifts from “How can we prevent accidents from happening?” to “What should we do when they occur?”.
Whenever you are working with heavy machinery, there is always a chance that some workers will sustain injuries, bystanders could be harmed, or unmarked properties may get damaged during demolition or excavation. Unfortunately, explaining that these incidents were accidents doesn’t shield your business from the legal claims and compensation demands that will follow. In severe cases, these claims could ruin your business.
Considering the fact that the risks are usually unavoidable, you must always get excavator liability insurance to reduce the financial losses that you will have to deal with.
Excavator business insurance provides you with a safety net, allowing you to focus on your projects without the constant fear of unexpected costs or lawsuits.
Here are some reasons why you need excavator liability insurance:
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Property damage
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Injuries to bystanders and workers
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Theft, damage, or breakdown of equipment
Who needs earthmoving public liability insurance?
Earthmoving public liability insurance is essential for individuals and businesses involved in construction, excavation, and earthmoving projects. Anyone who owns or runs an excavation business needs public liability insurance.
It provides coverage for third-party injuries, property damage, and legal expenses that may arise due to accidents that happen on-site and during operations.
Here is a list of everyone who needs earthmoving public liability insurance:
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Excavation Contractors
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Builders and Construction Companies
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Freelance Operators
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Landscaping Companies
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Demolition Contractors and Agents
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Equipment Hire Businesses
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Municipal Contractors
What does an excavator insurance cover?
Here is a list of what excavator insurance covers:
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Property Damage
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Equipment Damage or Breakdown
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Theft or Vandalism
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Third-Party Liability
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Personal Injury or Worker Compensation
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Business Interruption
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Transit coverage for transportation of excavators or any damages caused during transit
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Environmental or Pollution Liability
Types of Excavator Insurance
Here are six major types of excavator insurance:
General Liability
This is one of the most basic types of excavator insurance. General liability insurance protects your business from third-party claims that are related to bodily injuries and property damage. With this insurance, you are protected from lawsuits that should arise from these issues while also offering compensation for any damages.
If there is a chance that someone will be injured on or near your worksite, or you might mistakenly damage someone’s property during operations, then you should include general liability in your insurance package.
Commercial Property
You need this type of insurance if you have a physical location. This policy protects your business property, including offices, storage facilities, or garages, from risks such as fire and theft. You are also protected from natural disasters like storms and floods.
Workers Compensation
Depending on the state where your business is located, workers’ compensation coverage provides compensation to workers who are injured while at work or fall ill due to work-related causes. With this insurance coverage, your workers’ medical expenses and rehabilitation costs are taken care of, including their lost wages till when they can return to work.
Get excavator insurance coverage starting from $12/mo now.
Tools and Equipment
This type of insurance covers the repair or replacement of your tools and equipment. Whether these tools were damaged, lost, or stolen, the insurance coverage lifts the worries of having to replace those tools yourself.
Errors and Omissions
This policy, also known as professional liability insurance, protects your business from claims of negligence, mistakes, and oversights. This includes claims that arise from errors in project execution or planning. This is also applicable if the project failed to meet professional standards, causing your clients financial loss.
Inland Marine Coverage
This insurance protects your equipment while it’s in transit or stored offsite. You are fully covered even if your excavator or tools are damaged in transit.
Types of Excavator Insurance: Quote online
| Type of Insurance | What It Covers | Estimated Quote Online (per year) |
| General Liability | Third-party claims for body injuries, property damage, and legal costs. | $864–$1,000 |
| Commercial Property | Protection for business property, such as offices and storage facilities, against fire and theft. | $390–$750 |
| Workers’ Compensation | Covers medical expenses, lost wages, and rehabilitation costs for employees injured on the job. | Varies per state and size of employees |
| Tools and Equipment | Repair or replacement of tools and equipment damaged, lost, or stolen on or off-site. | $150–$300 |
| Errors and Omissions (E&O) | Protects against claims of negligence, mistakes, or professional oversights. | $600–$750 |
| Inland Marine Coverage | Coverage for equipment during transit or temporary offsite storage against theft or damage. | Prices varies based on the value of your property |
You must understand that the application of excavator insurance is broad; hence the quotes online are never the same. There are various types of coverage available, all dependent on your business needs. Understanding the types of excavator insurance will help you choose the right policy and ensure you’re adequately protected.
Excavator Insurance Cost
The cost of excavator insurance varies based on the package that you choose, the size of your firm, your business location, and the peculiarity of your business.
You should expect the cost of excavator insurance to run between $150 and $1000. In some cases, it might get up to $3000, depending on how many policies you add to your package.
Factors Influencing Excavator Insurance Quotes Online
Here are some of the factors influencing excavator insurance quotes online:
- Type of Coverage
- Value of Equipment
- Business Location
- Business Needs
- Number of Employees
- Claims History
- Coverage Limits
Don’t forget that the insurance provider that you choose plays a great role in determining how much you will pay for insurance. You can compare multiple providers to decide which is the best for you.
FAQs
What insurance do you need for an excavator?
Depending on the nature of your operations, for an excavator, you will likely need general liability insurance, workers’ compensation, and coverage for tools and equipment.
How much does excavator insurance cost?
The cost of excavator insurance varies based on different factors. However, you should expect to pay between $150 and $3000 for excavator insurance.
Can I get insurance for used excavators?
Yes. You can get insurance for used excavators. However, the age, condition, and market value of the used excavator will be considered.
CONCLUSION
You cannot overlook the importance of excavator insurance in protecting your business from risks like property damage, theft, and workplace hazards. As long as you can get the right coverage, you can focus on project execution with peace of mind, knowing you’re financially secure. To get the most from an excavator business insurance policy, assess your needs, compare policies, explore reliable excavator insurance quote providers like Barter, and choose a provider that offers comprehensive protection at a competitive rate.
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