Installation Floater Insurance (Canada)
A fast, contractor‑friendly program for job‑specific property. Protect materials, equipment, and fixtures while they’re in transit, stored off‑site, and awaiting/under installation anywhere in Canada (excluding Quebec). Choose per‑project or annual blanket options so certificates are ready when your schedule changes.
-
What it covers: New materials, equipment, and fixtures designated for a job while in transit, at temporary storage, and on the jobsite; theft, fire, vandalism, accidental damage during handling/installation; loading/unloading; unnamed storage locations (if endorsed).
-
What it doesn’t: Faulty workmanship/design (beyond resulting damage), wear/tear, rust/corrosion, voluntary parting, unexplained loss; contractor’s own tools are insured separately under a tools/equipment floater.
-
Program options: Per‑project or annual blanket limits; scheduled or unscheduled jobs; tailored territory and conveyances; deductibles that fit your trade and loss history.
-
Contract‑ready wording: Additional insured, loss payee, waiver of subrogation, primary/non‑contributory, and special certificate language coordinated across your CGL, tools/equipment, and builder’s risk.
Testing, commissioning, and DSU callouts
-
Testing/commissioning: Cold testing can often be included; mechanical/electrical breakdown and “hot” testing typically require endorsements.
-
Existing property: Add existing structure/real property coverage where a contract requires it.
-
Delay in Start‑Up (DSU): For revenue/soft‑cost exposures tied to project delay, we place DSU under Builder’s Risk or a dedicated form and align it with your installation scope.
-
Sticky quote CTA: Need a certificate today? Get a tailored quote and fast proofs of insurance. Contact us: Summit Contact or explore Contractors Insurance.
Looking for details? See the Advanced guide: Installation Floater Insurance FAQ (2025).
Introduction
Canada-scope note: For plant upgrades, retrofits, and component replacements across Canada (excluding Quebec), use an Installation Floater for job-specific property. For ground-up builds or multi-trade renovations, compare with project-wide Builder’s Risk coverage here: Builder’s Risk Insurance (Canada).
Canada quick notes (DSU & terms)
-
Does an installation floater include DSU? No. Delay in Start‑Up (lost revenue/soft costs from project delay) is typically placed under Builder’s Risk or a dedicated DSU form and aligned to your installation milestones.
-
Key terms to watch: Territory (Canada, excluding Quebec), storage time limits (days off‑site), valuation basis (replacement cost incl. freight/taxes), pairs & sets/sue and labour, testing scope (cold vs hot; breakdown endorsements), existing property inclusion if required, unnamed storage/transport allowances, and any coinsurance/reporting requirements. Ensure certificate wording matches contract language (additional insured, loss payee, waiver of subrogation, primary/non‑contributory). An installation floater is a specialized inland marine policy that covers materials, equipment, and fixtures while they’re in transit, at a temporary location, or awaiting/under installation at a job site. It is typically purchased by trade contractors and project owners to protect job-specific property that isn’t fully protected by commercial property or general liability policies. Updated: 2025.> Contract‑ready wording (fast certificates)
- Additional insured, loss payee, waiver of subrogation, primary/non‑contributory
- Cross‑policy alignment across CGL, tools/equipment, and builder’s risk
- Project‑specific certificates issued quickly with exact job names/addresses and lender wording
Installation Floater vs. Builder’s Risk (at a glance)
| Topic | Installation Floater | Builder’s Risk |
|---|---|---|
| Scope | Job‑specific materials, equipment, and fixtures for one trade/vendor | Entire project works, multiple trades, improving structure |
| Best for | Retrofits, replacements, plant upgrades, discrete installs | New builds, major renovations, multi‑trade projects |
| Who typically buys | Trade contractor or owner for owned/assigned property | Owner, developer, or GC for the full project |
| DSU (Delay in Start‑Up) | Not included; if needed, place under Builder’s Risk or a dedicated DSU form aligned to install milestones | Available by endorsement; DSU is commonly placed here |
| Testing/commissioning | Cold testing often included; hot testing/breakdown need endorsements | Broader testing scopes available by endorsement |
| Existing structure | Excluded unless specifically endorsed | Can be included/endorsed subject to terms |
| Limit structure | Per‑project or annual blanket limits for installs | Project limit covering total hard/soft costs |
Last updated: 04 Dec 2025
Quick facts
-
Purpose: Protects job materials and equipment from physical loss (e.g., theft, fire, vandalism) while in transit and during installation.
-
Who uses it: Electrical, HVAC, plumbing, millwork, glazing, solar, security/telecom, signage, and other installation contractors; owners on direct‑purchase installs.
-
Where it applies: Transit, temporary storage, and the job site; coverage form defines the territory and conveyances.
-
When it applies: From shipment or withdrawal from storage until completion/acceptance or the policy’s cessation trigger.
-
Not a substitute for: Project‑wide builder’s risk (covers the entire work), tools/equipment floaters (cover contractor’s owned tools), or CGL (covers third‑party injuries/property damage). See Builder’s Risk Insurance and Commercial General Liability.
-
How Summit helps: We curate installation floater terms to match contract requirements, coordinate with CGL/tools/builders risk, and issue accurate certificates fast. See Contractors Insurance.
Coverage snapshot (scannable)
| Area | Typically covered | Commonly excluded/limited |
|---|---|---|
| Materials, equipment, and fixtures designated for a job | Theft, fire, vandalism, certain weather perils (per form), accidental damage during handling/installation | Faulty workmanship (often only “resulting damage” covered), wear and tear, rust/corrosion, inherent vice, voluntary parting |
| Transit | Property while carried by owned/third‑party vehicles; loading/unloading | Dishonest acts, unexplained loss, inadequate packing; some carrier types may be excluded without endorsement |
| Temporary storage | Scheduled/unscheduled storage locations pending installation | Long‑term storage beyond stated days, high‑hazard storage (e.g., open yards) without security controls |
| Jobsite | Property at risk until completion/acceptance | Existing structure unless endorsed, testing beyond “cold” testing, mechanical/electrical breakdown unless added |
Refer to Commercial Property Insurance for fixed locations after installation and to Builder’s Risk for entire projects.
FAQs
1) What is an installation floater and how is it different from builder’s risk?
An installation floater insures specific materials/fixtures being installed by one trade or vendor. Builder’s risk insures the entire project (multiple trades and the improving structure). Use an installation floater for discrete installs (e.g., HVAC replacement); use builder’s risk for new builds or major renovations. See Builder’s Risk Insurance and Contractors Insurance.
2) What property is covered and where does coverage apply?
The floater typically covers new materials, equipment, and fixtures identified for the job while in transit, at temporary storage, and at the jobsite. Territory, conveyances, and storage‑time limits are defined by the policy. Owned contractor tools are usually excluded and are better insured under a tools/equipment floater; third‑party injury/property damage is a CGL issue.
3) When does coverage start and end?
Coverage generally starts when materials leave the vendor’s premises or your storage and ends at the earliest of: installation completion, formal acceptance, the end of a stated days‑after‑completion window, or policy expiration. Endorsements can extend testing or acceptance triggers when required by contract. See Contractors Insurance.
4) How much limit do I need and how is premium determined?
Choose a limit equal to the maximum replacement value on site (including freight, taxes, and soft costs if insurable). Premium is influenced by project value, material type (e.g., theft‑targeted goods), security controls, transit/storage details, geography, deductible, and loss history. Your broker can structure per‑project or blanket annual limits and negotiate deductibles/territory to fit your work mix. See Contractors Insurance.
5) What are common exclusions and how do I avoid gaps?
Typical exclusions include existing buildings/structures, faulty design/workmanship (beyond resulting damage), wear and tear, unexplained loss, and mechanical/electrical breakdown during “hot” testing. Close gaps by: pairing the floater with CGL for third‑party claims, tools/equipment floaters for owned gear, and Builder’s Risk for project‑wide coverage; adding endorsements for testing, existing property, and off‑site storage when needed.
6) How are certificates handled for installation projects?
Contracts may require project‑specific certificates naming the owner/GC as additional insured and the lender as loss payee. Provide the exact job name/site address, required limits, and any special wording. Summit issues certificates quickly and coordinates cross‑policy wording so requirements align across CGL, installation floater, and builder’s risk. See Contractors Insurance.
Claims and support
If you experience a loss: ensure safety, prevent further damage, document with photos/serials, secure the site, and notify us promptly so we can coordinate adjusters and restoration. Start here: Summit Claim Services.
Work with Summit
Our brokers curate installation floater terms to your trade, negotiate pricing with multiple insurers, align coverages across your program, and support fast proofs of insurance as projects evolve. Explore related coverages: Commercial Property, General Liability, and Builder’s Risk.