In most cases for contractors, property is covered while at the contractor’s premises under the contractor’s business and personal property insurance. But once property leaves the premises, that likely isn’t the case.

A Contractors Equipment policy, often called a Contractors Equipment floater, can provide coverage for the equipment and tools used on projects while they are away from the insured premises. But these don’t cover property that is to become part of the finished project, like materials such as drywall, cabinetry, plumbing, HVAC parts, etc.