Letting Someone Borrow Your Owned Equipment
- Be cautious when letting someone borrow your owned equipment.
- When you knowingly release your equipment to a third party, coverage no longer applies. This means that unless the borrower has coverage, your policy will not cover any loss or damage that occurs while the equipment is with the borrower.
- If you purchase False Pretense coverage, your equipment would be covered in the event that the borrower never returned the equipment, or refused to participate in a claim proceeding
- You should always require your borrower to have Rented Equipment coverage and to issue you a COI listing you as Loss Payee