The Real Cost of Tool Theft (And Why New-for-Old Cover Matters)

Bill Ding didn’t think much of it.

A quick coffee run. Ten minutes tops. His ute was locked, parked on a quiet street. But when he returned, the back canopy was wide open and $5,000 worth of cordless gear had vanished. Drills, grinders, a new nail gun. Gone in a flash.

Bill lost half a day chasing police reports and supplier invoices. The weekend job he’d lined up? Cancelled. And that client? Found someone else. Add in the replacement cost, poor Bill was hit hard.

Tool Theft is on the Rise

In Australia, tradie tool theft costs the industry millions each year. These aren’t isolated incidents. They’re common and costly.

But here’s what often gets overlooked: even with insurance, many tradies end up out of pocket. Why? Because plenty of policies only pay the depreciated value of stolen gear.

Suddenly, that $600 drill bought last year is only “worth” $300. And that $2,000 combo kit? You’ll be lucky to see half. Add excess and downtime and the real cost of theft balloons fast.

Cover That Doesn’t Match the Real-World Risk

Most brokers know how frustrating it is to explain this to clients. Especially when they've done the right thing, locked up, lodged the claim, followed the rules. But the payout still doesn’t cover a trip to Bunnings, let alone lost income.

The conversation usually ends the same way:
"What’s the point of having insurance if it doesn’t actually replace what I lost?"

Hutch’s New-for-Old Tool Cover

That’s why Hutch built something better.

With Trade Pack, brokers can offer their clients new-for-old replacement for tools under two years old. That means:

• No surprises on claim day
• Faster recovery from theft
• Less frustration when downtime bites

It’s a simple addition with a big impact. And it’s one of six optional covers in the new Trade Pack, designed specifically for SME trade businesses.

And it’s available now, exclusively via Ebix Sunrise Exchange under product code HUTTP.

Why Brokers Are Plugging Into Trade Pack

When tools are insured under a General Property cover in a traditional Biz Pack, they aren’t protected when off the business premises. Tool cover is just one reason brokers are switching to Hutch’s packaged solution. Hutch Trade Pack Insurance also includes:

• Built-in Public & Product Liability (up to $20M)
• Optional cyber, tax audit, mobile plant and personal accident cover
• Straightforward wording and faster quotes
• Fewer touchpoints, less admin and real-time quoting via Ebix Sunrise Exchange

Trade Pack is built for brokers. Backed by Lloyd’s and other insurers. And designed to cut through the complexity so you can quote quickly and support your trade clients when it counts.

Ready to See It in Action?

Start quoting Trade Pack via Ebix Sunrise Exchange.
Product Code: HUTTP