What it does
IH 68 01 is an endorsement to the Contractors Equipment Coverage Form adding coverage for tools and clothing belonging to the insured's employees, filed with a 12 00 edition. The 05 17 edition of IH 00 68 itself includes an Employee Tools And Clothing additional coverage ($5,000 per occurrence, $1,000 per employee, at job sites or in transit in the insured's vehicles), so this endorsement matters mainly for older editions of the coverage form or for higher limits where the carrier still uses it.
Who needs it
Trade contractors whose workers own their hand tools (carpenters, mechanics, electricians) and expect the employer to replace tools lost in a jobsite fire or theft.
Quoting and selling notes
Check which edition of IH 00 68 the carrier uses before adding it. Ask how many employees bring tools and typical values per person, and whether a higher per-employee limit should be shown in the declarations.
Before presenting it
Ask the carrier for the specimen of this endorsement and read it with the coverage form it modifies, since the endorsement only changes the provisions it names. Note it on the proposal so the insured knows how it changes the base form.
