NER, Chubb Join Theft Prevention Efforts

The Chubb Group of Insurance Companies said it is making it easier for clients to register their construction equipment with the National Equipment Register (NER) as a theft deterrent move.

Insurance companies routinely register equipment thefts with NER. Chubb said in response to the rising cost of equipment thefts, it is making it easier for policyholders to register heavy contractors' equipment with NER in advance of any theft.

Chubb will pay the cost of registering the first 10 pieces of equipment. NER registration fees for items over the initial 10 will be reduced by 20 percent for Chubb policyholders under the insurer's arrangement with NER.

Also, Chubb said it will waive insurance deductibles of up to $10,000 for stolen equipment registered with NER not recovered within 30 days of being reported stolen to law enforcement authorities.

The value of stolen equipment has risen 20 percent each year since 1996, and theft is the most common cause of loss for heavy equipment, according to Insurance Services Office (ISO). Only 10-to-15 percent of stolen equipment is ever recovered.

According to Chubb, some national surveys have suggested the total figure for stolen heavy construction and agricultural equipment could be as much as $1 billion each year in losses and indirect costs, such as rentals, downtime, lost productivity and project overrun penalties.

"Combating commercial equipment theft is one of our toughest challenges," said Pat Stoik, vice president of Chubb & Son and Global Inland Marine Manager for Chubb Commercial Insurance. "NER has been pivotal in helping Chubb and its customers recover stolen equipment. We are giving our policyholders incentives to take an active role in combating equipment theft and to reduce their risk."

Through NER's secure and confidential online registration, businesses provide descriptions of their equipment and the serial numbers, and this information is stored in a national database. In addition, registrants are given a warning decal for each piece of equipment to help deter thieves.

"Chubb has recognized this leading industry issue and taken measures to assist its customers in combating theft," said David Shillingford, president of NER. "NER and Chubb are working together to help reduce the costs associated with equipment theft and provide customers with added value."

Created in 1999, the National Equipment Register manages a national database of heavy equipment thefts and ownership to help equipment owners, the insurance industry and law enforcement identify and recover stolen equipment. For more information, go to http://www.NERusa.com.