Why Coil Tubing Firms Need Oilfield Tools & Equipment Insurance
- Nate Jones, CPCU, ARM, CLCS, AU
- 4 days ago
- 2 min read
Coil tubing operations in the oil and gas industry rely on highly specialized tools and equipment to perform efficient and safe operations. From coiled tubing units to hydraulic control systems and rig-up machinery, your business assets are valuable—and vulnerable. For coil tubing companies, specialized equipment insurance is not just recommended; it’s essential.
Why Coil Tubing Companies Need Specialized Oilfield Tools & Equipment Coverage
Coil tubing operations in the oil and gas industry rely on highly specialized tools and equipment to perform efficient and safe operations. From coiled tubing units to hydraulic control systems and rig-up machinery, your business assets are valuable—and vulnerable. For coil tubing companies, specialized equipment insurance is not just recommended; it’s essential for protecting your investment and ensuring operational continuity.
Risks Facing Coil Tubing Tools and Equipment
Coil tubing operations involve high-pressure wells, remote locations, and heavy machinery. These conditions create a range of risks that can significantly impact your bottom line:
Mechanical failure or breakdowns during operations
Theft or vandalism of equipment at job sites
Damage during transportation to and from well sites
Environmental damage or natural disasters affecting equipment
Even a minor equipment failure can lead to downtime, lost contracts, or costly repairs. For businesses operating in multiple states or remote areas, having the right coverage is critical to maintain operational efficiency and financial stability.
What Specialized Equipment Coverage Includes
Specialized oilfield tools and equipment coverage is designed specifically for the high-value machinery used in coil tubing operations. This coverage typically includes:
Physical damage from accidents, collisions, or operational failures
Loss or theft of high-value tools and machinery
Replacement or repair costs for critical coil tubing equipment
Business interruption coverage to protect income while equipment is being repaired or replaced
Many coil tubing companies combine this coverage with commercial auto insurance for rig-up trucks and other vehicles. Bundling policies can often reduce premiums while providing comprehensive protection for both mobility and operational assets.
Why Choose Wexford Insurance
At Wexford Insurance, we focus on providing customized insurance solutions for coil tubing companies and other oil and gas businesses. Our approach goes beyond standard coverage:
Tailored Policies: We work with multiple national carriers to create insurance plans that match your operations, equipment, and risk profile.
Comprehensive Protection: We ensure coverage for all specialized tools, machinery, and associated vehicles.
Proactive Risk Management: Our team advises on best practices to reduce claims, minimize downtime, and protect your investment.
