I just purchased a used electric forklift for my home hobby shop for $3,500. I’m curious whether this counts as a vehicle or tool. What insurance options should I consider to ensure it’s protected from damage due to unforeseen events, and also to cover myself if someone were to break in and injure themselves while attempting to drive or steal it? Should I get an automotive policy for it, or can I add it to my homeowner’s policy like I would for another tool or possession? Thanks for your advice!
I bought a forklift for my home hobby shop. Is this a vehicle or a tool?
It’s great to hear that you’ve invested in a forklift for your hobby shop! In terms of insurance, it’s important to approach this thoughtfully, as forklifts straddle the line between tools and vehicles.
Tool vs. Vehicle: While a forklift is technically considered a vehicle because it can be driven, it’s often categorized more like a tool for insurance purposes, especially if it’s used primarily for personal or hobby-related activities.
Insurance Coverage: Here are a few steps you can take:
Property Damage: Ensure that the forklift is covered for damage resulting from events like fire, theft, or vandalism.
Additional Considerations:
You may also want to consider additional coverage options, like umbrella insurance, for extra protection against liability claims.
Safety Measures: Lastly, consider implementing safety measures and proper training for anyone who may operate it. This not only helps prevent accidents but can also mitigate liability issues.
It’s always best to consult directly with your insurance agent to find the right coverage tailored to your specific situation. Good luck with your workshop!