What Is Inland Marine Insurance? Michigan Commercial Insurance 101

What Is Inland Marine Insurance? 

If your Michigan business regularly transports tools, equipment, or materials—or stores property offsite—you’ve likely heard of inland marine insurance. But what exactly is it, and do you really need it?

Inland marine insurance is designed to cover property in transit, specialized tools, installation equipment, and even client property held in your care—all things that a standard commercial property policy may not fully protect. It’s an essential layer of protection for contractors, construction companies, repair shops, and many other businesses with mobile or offsite property.

What Does Inland Marine Insurance Cover?

Here are some of the major exposures that inland marine insurance protects against:

Property in Transit
If your business moves goods or equipment from one location to another—whether by truck, air, or rail—this coverage helps protect those items from loss or damage during transport.

Movable Equipment & Tools
Standard property policies typically only cover equipment stored at your main location. Inland marine fills in the gap by protecting contractor tools, machinery, and equipment used at offsite job sites.

Valuable Business Assets
Coverage can also extend to installation floater coverage, valuable documents, computer data, and even fine art, depending on your business needs.

Bailee’s Coverage
If your company holds property that belongs to someone else—like a repair shop, storage facility, or dry cleaner—Bailee’s Coverage protects that property while it's in your possession.

Why Inland Marine Insurance Matters for Michigan Businesses

Inland marine insurance isn’t just for large companies—it’s a crucial coverage for many small and mid-size businesses throughout Michigan.

Contractors and construction firms especially benefit from this coverage. Tools and machinery move from job to job, and inland marine ensures you're protected wherever that equipment goes. Without it, a theft at a job site or damage during transport could mean serious out-of-pocket losses.

Key Benefits of Inland Marine Insurance

Broad Coverage
Inland marine goes beyond the four walls of your building. It’s flexible and covers a wider range of risks and locations than standard commercial property insurance.

Customization
Policies can be tailored to fit your business—whether you're a general contractor, HVAC company, event rental business, or specialty trade contractor.

High Coverage Limits
Many inland marine policies offer higher limits than typical property insurance—essential for protecting high-value tools and materials.

Gap-Filling Protection
It’s designed to work alongside your commercial property and liability policies, filling in the gaps to provide more complete protection.

Pro Tips: Avoiding Common Inland Marine Mistakes

Keep Your Inventory Updated
Regularly update your list of covered equipment, tools, and other movable property. Accurate records make for faster, smoother claims.

Review Coverage Annually
As your business grows, your coverage should grow too. One of the biggest mistakes businesses make is failing to adjust their inland marine policy to match their current needs.

Work with a Knowledgeable Agent
Not all inland marine policies are the same. A knowledgeable insurance agent can help ensure you're not underinsured—or paying for coverage you don’t need.

Does Your Business Need Inland Marine Insurance?

If your business in Michigan owns or transports valuable property, stores items offsite, or temporarily holds client property, inland marine insurance may be exactly what you need to stay protected.

Still have questions or want a quote?
📞 Contact us today to review your commercial insurance and get the right inland marine coverage for your business.