False Pretense Coverage

As fraud continues to rise in the equipment rental industry, it is crucial to stay vigilant when renting out your valuable gear. To protect against theft by renters, consider adding ‘False Pretense’ coverage to your owned equipment policy. Also known as ‘Voluntary Parting’ coverage, this optional insurance reimburses you if your equipment is stolen by a renter who obtained it under false pretenses and failed to return it.

Why Add False Pretense Coverage?

• Protection Against Fraud: Safeguard your gear from being stolen by deceitful renters.
• Peace of Mind: Ensure that you are covered if a renter fails to return your equipment.

Requirements for Coverage

To qualify for False Pretense coverage, the following conditions must be met:

• Equipment Coverage: The equipment you are renting out must already be covered under your policy limit.
• Written Contract: You must have a written agreement in place with the renter, detailing:
  • Equipment being rented
  • Rental duration
  • Full names and contact information of both parties
  • A clause stating that the renter assumes full responsibility for any loss, damage, or theft of the equipment while in their possession.

Coverage Details

• Coverage Limit: The maximum online limit for False Pretense coverage is $50,000.
• Deductible: A deductible of 5% of the loss value applies, with a minimum deductible of $500 and a maximum of $5,000.

How to Add False Pretense Coverage

While Applying for Coverage:

1. When completing your insurance application, answer ‘Yes’ to the question about renting your gear to others.
2. Select your desired coverage limit when prompted.

After Policy Purchase:

1. Log in to your InsureMyEquipment.com account and go to your dashboard.
2. Click the link to ‘Modify Coverage’.
3. Add False Pretense coverage with your desired limit.

Additional Recommendations

We highly recommend reviewing the Fraud Prevention Guidelines before renting out your gear to ensure you take all necessary precautions to prevent theft.

Protect your valuable equipment and ensure you are covered against fraudulent renters by adding False Pretense coverage to your policy today. If you have any questions or need further assistance, please contact [email protected].

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