What type of insurance covers the Contractor's Off-Road Construction Equipment?

Floaters Insurance is the correct choice for covering a contractor's off-road construction equipment. This type of insurance is specifically designed to provide coverage for valuable items that may not be permanently affixed to a structure and can be easily moved from one location to another. Off-road construction equipment, such as bulldozers, excavators, and graders, falls into this category as they are often transported between job sites and are at risk for loss or damage during transit or while in use at different locations.

In contrast, general liability insurance primarily covers claims related to bodily injury or property damage that occur on a contractor's premises or due to their business operations, but it does not specifically insure equipment. Auto insurance typically covers vehicles used on public roads and is not applicable for off-road equipment used at construction sites. Builder's risk insurance protects structures under construction from damage during the building process, but it does not cover the tools and equipment required for the construction work. Thus, floaters insurance is the most suitable option for safeguarding off-road construction equipment.