Tool of trade risk

Risk arising out of the use of a special type, such as a mobile digger, as a tool of trade, i.e. used for its intended function, digging, lifting etc. This risk is distinguished from the road risk necessitating compulsory third party motor insurance. Tool of trade risks are of a third party nature, e.g. liability for damage to underground cables, and insurable under commercial motor, public liability or engineering insurances.

Leave a Reply

Your email address will not be published. Required fields are marked *