Why You Need It

Whether you own your own plant or hire it in for a job, the risks are the same:

• Theft from site

• Damage caused by operator error

• Vandalism

• Accidents in transit

• Continuing hire charges after damage or loss

Without insurance, you could be left paying the full replacement cost of expensive equipment — or worse, covering hire fees on plant you can’t even use.

What’s Typically Covered by Plant Hire Insurance?

Here’s a breakdown of the core cover you’ll find in most plant hire insurance policies:

1. Theft and Malicious Damage

Plant and machinery are frequent targets for theft — particularly from construction sites and vehicles. Insurance covers:

• Theft from locked sites or secure compounds

• Theft from vehicles (subject to security conditions)

• Malicious or deliberate damage by third parties

Note: Most policies will require you to follow certain security measures for the cover to remain valid (e.g. immobilisers, fencing, lock-ups).

2. Accidental Damage

Covers accidental damage to the plant itself during:

• Operation

• Loading/unloading

• Movement on-site

• Unintentional misuse

If a dumper clips a wall or a mini digger tips over, your insurer steps in — provided the damage wasn’t caused by negligence or unauthorised use.

3. Hired-In Plant

If you’re hiring machinery from another company, you’re often contractually responsible for it. Hired-in plant cover protects you for:

• Physical damage

• Theft

• Fire or weather-related loss

• Continuing hire charges (see below)

This ensures you won’t be paying out-of-pocket if hired equipment is lost or damaged while in your care.

4. Owned Plant

If you own and operate your own plant, the policy will cover:

• Damage to your equipment

• Theft from site or while in transit

• Breakdown or downtime cover (if included as an extension)

Owned plant cover can be arranged on a named-item or blanket basis, depending on how large or mobile your fleet is.

5. Continuing Hire Charges

If hired plant is damaged or stolen, the hire company may still charge you the daily rate until it’s replaced or repaired.

Plant hire insurance often includes cover for:

• Ongoing hire fees while the item is out of action

• Loss of use clauses written into your hire contract

• Financial compensation to the hire company

This is often overlooked — and can cost contractors thousands if not covered.

6. Transit Cover

Plant is regularly moved between jobs. Transit cover protects your machinery while being:

• Transported on a trailer or flatbed

• Towed on a highway

• Loaded/unloaded onto transport vehicles

Not all plant policies include this automatically, so check whether transit is covered and if any vehicle requirements (e.g. locks, signage apply.

7. Public Liability (Optional Add-On)

Some plant hire policies also offer public liability as an add-on. This covers you if the plant causes injury or property damage to a third party during use.

Example: A hired telehandler accidentally knocks down part of a wall on a client’s site. Public liability would cover the damage caused.

While not always bundled in, having public liability as part of your plant cover keeps everything under one policy and simplifies claims.

What’s Not Typically Covered?

While policies vary, here are some common exclusions:

• Damage due to negligence or misuse (e.g. unauthorised operators)

• Wear and tear or gradual deterioration

• Theft without evidence of forced entry or where site security wasn’t followed

• Items not declared to the insurer or not included on the schedule

• Damage during unauthorised transport or off-site use

Always review your policy wording carefully — especially around storage, transport, and use conditions.

Real-World Scenarios Covered by Plant Hire Insurance

Scenario 1: A hired mini excavator is stolen from a locked building site overnight.
Covered by theft and hired-in plant section.

Scenario 2: An owned dumper is damaged while unloading materials.
Covered under accidental damage to owned plant.

Scenario 3: A client refuses to pay for damage, and the hire company demands continuing hire fees.
Covered under continuing hire charges.

Scenario 4: A machine is vandalised over the weekend.
Covered under malicious damage.

Who Needs This Cover?

• Self-employed contractors and tradespeople hiring plant

• Small construction firms with owned or hired equipment

• Groundworkers, landscapers, and civil engineers

• Plant hire companies insuring owned assets

• Businesses working on-site with machinery worth more than a few thousand pounds

If you hire, own, move, or operate plant — you likely need this cover.

Need a quote or want to review your current policy?
Call us on 01474 833 322 or get a fast online quote at: www.abainsurance.co.uk/trades-insurance-quote/