The dealers will often subcontract the transportation of equipment including their own equipment, rental fleet equipment, or customer equipment. Please make sure that you have a written contract with the trucking company. You will need to verify that the contract clearly makes them responsible for the items being transported and that they have adequate limits of what is commonly referred to as Cargo coverage.

Another exposure is the use of subcontractors that may install or service your equipment. Again, there is a need for a written agreement that clearly makes them responsible for their negligence. It should also include a hold harmless agreement and indemnity wording. The contract should transfer the insurance requirements to the subcontractor, and they should name you as an additional insured and carry limits of insurance that are adequate. The contract should clearly indicate the subcontractor as an independent contractor and they must carry their own workers compensation insurance.