Tracking down the enemy

Covert, self-activating signal transmitters and grid-based location trackers may seem better suited to the latest James Bond film than they do to the construction industry, but firms could save thousands of pounds on insurance premiums by using tracked hire equipment.

Temporary power business Speedy Power is calling on the industry to take advantage of new security technology to reduce the costs associated with plant and equipment theft.

Official figures published by the National Plant & Equipment Register (TER) found there were more than 4000 incidents of theft reported last year – an annual increase of 20%, and the highest figure on record. The value of equipment stolen was £43 million, only a fraction of which was recovered by police. This is just the tip of the iceberg, as figures do not include unreported incidents.

The scale of the problem is driving up insurance premiums for the thousands of firms who fall victim each year.

Yet new sophisticated tracking devices, which help to ensure the successful recovery of lost or stolen goods, can now be fitted to most types of high-value hire equipment.

Speedy Power’s managing director Andy Carter says contractors can reduce premiums by introducing a company-wide policy on hire equipment. “We can install our SafeSet tracking device to most of our equipment – from generators to power cells to compressed air units.”

Companies pay a small premium but the system has a 98% recovery rate, which avoids any need to claim through the insurance policy. Plus, a quick recovery limits lost productivity through down time.

“By insisting employees order fully-tracked hire equipment, companies can protect themselves far more effectively from the impact of plant and equipment theft, meaning they’re not picking up the tab through higher premium costs,” says Carter.

As well as covering contractors for their own plant and equipment, Contractors’ Plant insurance also covers their legal liability under the terms of their hiring agreement.

Tracking devices like SafeSet can lead to better detection rates and more successful prosecutions

Carl Gebhard, head of construction at Zurich Commercial, says: “Positive action needs to be taken by all stakeholders to address this issue. The insurance industry has historically paid claims and subsequently raised premiums or excesses. This is not a viable long term strategy.”

Zurich rewards efforts by customers to reduce the impact of plant theft, offering premium discounts of up to 25% for various types of security measures, including tracking devices. This also applies to customers hiring equipment. Gebhard says: “Proactive measures can reduce costs now and in future years.”

Tracking devices can also help bring offenders to justice. Carter explains: “Devices like SafeSet can lead to better detection rates and more successful prosecutions of individual perpetrators and organised gangs, helping to tackle the root cause.”

The SafeSet system, designed by Norwegian security specialist M-Track and distributed in the UK by Global Asset, is a revolutionary asset tracking and management system.

The device can be fitted retrospectively to equipment, and works by transmitting a signal via GSM modem. It self-activates every five minutes to pick up messages from the network.

Global Asset’s monitoring station can send a signal requesting it remains active while they pinpoint the transmitter’s location on a grid.

Operatives then work closely with the police to recover equipment, using handheld devices capable of receiving the signal in the field often to within 250 metres.

Last year, Speedy helped to recover £3 million of its equipment using the SafeSet system.

The same system also enables managers to monitor the efficiency of equipment and audit use by operatives.