Pitfall: Many companies assume their property policy covers tools and equipment on job sites or in transit. It usually doesn’t.
Fix: Inland marine coverage protects tools, equipment, and rented gear whether at a yard, in transit, or on location.
Cost Angle: Premiums are relatively low compared to the replacement cost of
specialized oilfield tools.
Do you know if your tools are covered on the road?
Pitfall: Assuming rental companies’ insurance covers you. Their policies usually protect them, not you. Fix: Add coverage for leased/rented equipment on your inland marine policy. Takeaway: Always assume you’re responsible for rented equipment until proven otherwise.
Pitfall: Treating OSHA compliance as separate from insurance. Carriers review OSHA violations when pricing policies. Fix: Maintain strong OSHA logs, training, and compliance. Demonstrating safety lowersrisk scores. Cost Angle: Fewer violations = lower premiums.
Pitfall: Focusing only on physical damage coverage. When operations stop, lost income is often greater than property damage. Fix: Add business interruption coverage to replace income during downtime. Takeaway: The pitfall is overlooking business continuity. The fix is protecting your… Continue reading Business Interruption Coverage in the Oilfield