What's Covered?

The American Lease Insurance Program protects covered equipment from external causes of loss, including the following:

  • Fire
  • Theft, including burglary, robbery by violence or threat, or illegal taking
  • Windstorm, hurricane, tornado, cyclone, or hailstorm
  • Flood
  • Accidental damage
  • Power surge
  • Terrorism

Equipment is covered while located anywhere in the United States (including its territories and possessions) and Canada. While you and your business benefit from this insurance protection, the leasing or finance company is the only insured under the ALI Program.

What's Not Covered?

There is no deductible, but losses of $250 are not covered under the American Lease Insurance Program.
Causes of loss which are not covered by the ALI Program include, but are not limited to, the following:

  • Dishonest or criminal acts by a customer or a customer's authorized representative
  • Earthquake
  • Mechanical breakdown and/or wear and tear
  • Mold
  • Military or governmental action, or war
  • Nuclear reaction, radiation, or radioactive contamination
  • Rust or corrosion
  • Contamination or pollution
  • Seizure or confiscation of equipment by order of any civil authority

Certain categories of equipment are excluded from ALI Program coverage, including:

  • Titled vehicles
  • Aircraft
  • Watercraft
  • Equipment used in mining, logging, lumbering, or oil and gas processing
  • Underground equipment or equipment while located underground

Ineligible Equipment

A. Automobiles, Trucks, Trailers, Semi-Trailers, ATVs, or any self-propelled vehicles or machines primarily designed and licensed for road use; provided, however, that trailers or semi-trailers will be included as covered equipment if they are included on the same lease or finance agreement with other items of covered equipment and are to be primarily used for the purpose of providing mobility to such other covered equipment.
B. Equipment used in mining, logging, lumbering or oil or gas explorations or processing; provided, however, that this exclusion does not apply to covered equipment located and used in enclosed buildings, if the primary use of such equipment is incidental to activities in these industries.
C. Equipment that is waterborne; provided, however, that this exclusion does not apply to losses to covered equipment while it is on ferries operated in connection with railroads, or on public ferries operating scheduled routes.
D. Underground equipment or equipment while located underground; provided, however, that this exclusion does not apply to covered equipment located below ground level in enclosed buildings that are constructed primarily above ground level.
E. Aircraft or watercraft, including their motors, equipment and accessories.
F. Equipment illegally acquired, kept, stored or transported or equipment seized or confiscated for breach of any law or by order of any public authority.
G. Software that is included in primarily software-only lease or finance agreements; provided, however, when software is considered covered equipment because it is included as part of a lease or finance agreement for computer hardware, ALI will pay the lesser of $5,000, the actual cost to reconstruct software, or the cost to purchase a copy of such software.
H. Accounts, bills, currency, deeds, evidence of debt, money, notes, securities, precious metals, or jewelry.

For questions, please contact customerservice@aliac.net.