$40K Lost, should I file an insurance claim?

Question

Last night (3) of my plumbing trucks were broken into and over $40k worth of tool and material were stole on the trucks. I have liability insurance and auto insurance, should I file a claim over this.

Currently I pay about $9000 per year for my liability insurance. The concern I have is if I file a claim how much will my insurance likely go up? Am I going to be cancelled or end up paying $18,000 per year for the next 10 years?

What should I do? I've never made a claim against my insurance before?

Answer 1

If you are only carrying liability insurance and auto insurance, you are most likely out of luck. Auto insurance covers the vehicles, but not property not related to the vehicles. (Covers attached radios, but not boom box sitting in vehicle.) Liability covers damage you cause to others, but not damage caused to you by others. What you need is a business owners policy. It covers your liability and equipment. Hopefully that is what you have. You can pull out your policy and take a look without calling your agent.

Answer 2

I'm not sure how property stolen from a commercial vehicle would work. But, if this was property stolen from a personal vehicle, it would be filed as a claim on your homeowner's insurance.

Do you have some kind of insurance on your place of business. Because I would assume there would be some kind of business property loss clause in such a policy, similar to the homeowners insurance covering personal property loss from a vehicle.

Also, your insurance may go up if you make a claim. Or, when it comes time to renew your insurance, the insurance company might drop you. Then you have to go to another carrier, who will consider you high-risk and charge more.

One other thing - even if you simply ask your insurance carrier if you can make a claim on a loss, without actually filing for a loss - this will show up on your insurance record as though you made a claim.

I had a water main on my house start leaking at the water meter. So, I called my insurance company to find out if my homeowners policy covered that. They said no. So, I just paid a plumber to fix it. Three years later, I got denied coverage by a different insurance company for making a homeowners claim about a leaking water main. That's when I was informed by the insurance broker that simply inquiring about whether something is covered counts as making a claim.

Answer 3

OK, do you have Contractors Equipment coverage, or an Inland Marine policy? That's what is going to cover the tools and materials.

AUTO insurance will only cover the damage to the trucks during the breakin - IF You have theft coverage. It only covers the theft of the VEHICLE, not the "tools & equipment"

LIABILITY insurance is a third party coverage - it will NEVER pay you, only pay out the person you damage.

So unless you have contractors equipment or similar coverage (ask your agent), there isn't going to be any coverage anyway.

Answer 4

If all your carrying is liability the insurance company isn't going pay a dime. You have to have theft insurance. Liability only covers the damage to the other persons car if you are at fault. Not very smart having that much in equipment in your trucks without carrying theft.

Answer 5

The whole purpose for buying and paying for insurance is to USE it when you have a loss. Unless you've got $40k ready cash just lying around, I say file a claim and take advantage of the insurance you've been paying for.

Your insurance isn't going to be cancelled simply because you file ONE claim. Your premiums may go up, but really, what's the point of having insurance if you aren't going to use it when you need it?

Answer 6

No... as long as you're not making more than two (one) per year... you should be okay...

I have business before... the most it can go up is 5% unless your claim is unreasonable... they can jack up ur policy up to 30%

Answer 7

not unless you carry an inland marine on the tools