Heavy equipment accidents frequently occur in various sectors, such as mining, construction, and forestry, in Indonesia. Each incident results in significant financial losses, operational disruptions, and even loss of life.
In fact, most accidents are not purely caused by bad luck, but rather weaknesses in risk management, operational oversight, and inadequate insurance systems.
This article examines real-life examples of heavy equipment accidents, their causes, and how the right approach—especially through a professional insurance broker like L&G Insurance Broker—can prevent and minimize the impact of losses.
1. Excavator Overturns in Coal Mining Area
Chronology
A 30-ton excavator overturned while clearing a haul road in a mining area in East Kalimantan. The ground was slippery after rain, and the operator was working without supervision.
Risk Analysis
- The work path is unstable and not reinforced.
- No daily field inspections are performed.
- The operator works alone.
Important Lessons
Use a spotter, conduct a daily risk assessment, and ensure the equipment is equipped with a ROPS and active seat belt.
Insurance Protection
Accidents like these are covered by Contractor’s Plant and Machinery (CPM) Insurance. However, without expert guidance in policy wording, many companies lose their claim due to administrative errors.
2. Crane Collapses During Building Construction Project
A 50-ton crane collapsed while lifting concrete due to overloading and inadequate technical inspections. The incident resulted in equipment loss, vehicle damage, and minor injuries to workers.
In addition to CPM, this case also involves Public Liability Insurance to cover third party losses.
An experienced insurance broker like L&G Insurance Broker plays a crucial role in structuring a combined policy so that the two coverages complement each other—rather than overlapping or creating gaps.
3. Dump TruckBurned on the Mining Road
A short circuit due to substandard repairs caused a dump truck worth billions of rupiah to burn to the ground.
Insurance companies often reject claims if technical violations are discovered. This is where the broker’s role becomes crucial: helping review investigation reports, communicating findings to loss adjusters, and negotiating claims outcomes to ensure clients receive fair compensation.
L&G has successfully resolved numerous heavy equipment fire claims totaling millions of US dollars, thanks to its technical expertise and intensive communication with insurers.
4. Loader Hits Diesel Tank
This accident at the nickel mine caused a small fire due to the lack of safe distance between the equipment and the fuel tank.
Incidents like this give rise to double claims: CPM for the heavy equipment and Liability Insurance for third party liability.
A competent insurance broker will ensure both policies are active and support each other, so there is no gap in coverage when a large claim occurs.
5. Forklift Overturned at Port
A 5-ton forklift overturned due to an unbalanced load. The operator was not wearing a seat belt and the work area was cramped.
Losses due to equipment damage are covered by CPM, while worker injuries are covered by Personal Accident Insurance or BPJS Ketenagakerjaan. Insurance brokers ensure all aspects of labor and equipment risks are systematically linked within a single protection program.
6. Theft of Heavy Equipment on Road Projects
Motor grader lost in local project due to lack of security system and GPS tracker.
Many companies don’t know that theft risk isn’t automatically covered under CPM—the “Theft and Burglary” extension must be specifically requested.
L&G Insurance Broker regularly helps clients add cover extensions like this, so that any potential loss—including loss of the unit—remains protected.
7. General Pattern of All Cases
From all the examples above, the following pattern always emerges:
- Human error and weak K3 discipline are the main causes.
- Equipment inspections are not performed routinely.
- Understanding of insurance policies is still low.
- Claims are often delayed due to administrative errors.
This is why the support of an insurance broker who understands heavy equipment technical aspects is so crucial. They don’t just sell policies, but also manage risk comprehensively.
8. The Importance of Arranging Insurance Through an Authorized Broker
Arranging heavy equipment insurance policies without a licensed broker is extremely risky. Many companies assume that dealing directly with the insurer is sufficient, but this opens the door to significant errors.
Official insurance brokers such as L&G Insurance Broker, which is registered and supervised by the OJK, act as representatives of the insured, not insurance companies.
They have the expertise to:
- Assess and classify operational risks.
- Compile appropriate policy wording according to field conditions.
- Accompanying clients in the claims process, investigations, and payment negotiations.
With the support of a broker, the insured gets objective, efficient, and legally guaranteed protection.
9. The Role of L&G Insurance Brokers in Handling Large Claims
L&G has experience handling thousands of units of heavy equipment from various brands, including XCMG, SANY, LiuGong, SDLG, Zoomlion, Shantui, Lonking, XGMA, Lovol, Foton, and Weichai.
Some of the major claims that have been successfully resolved include:
- Heavy equipment sinking accident worth Rp. 17 billion.
- Total loss claims due to mining operations amount to more than USD 1 million.
- Hundreds of partial claims due to mechanical failure, fire, and theft were all resolved successfully.
L&G’s approach focuses on:
-
Risk audit and preparation of professional claim documents.
- Intensive coordination with loss adjusters and insurance companies.
- Negotiate the assessment results so that claim payments are in accordance with the facts on the ground.
Conclusion
Heavy equipment accidents are a consequence of high-risk industrial operations, but any risk can be managed with the right systems.
Through disciplined implementation of K3, standard equipment maintenance, and professionally designed insurance protection, companies can avoid major losses and maintain project continuity.
As a leading insurance broker in the heavy equipment and mining sector,
L&G Insurance Broker is ready to assist companies throughout Indonesia in:
- Develop a comprehensive insurance program,
- Protecting high-value assets from various risks,
- And ensure claims are resolved quickly, transparently, and satisfactorily.
With long experience and a solid reputation, L&G is not just an insurance provider — it is a strategic partner in the success of your heavy equipment operations.
—
DON’T WASTE YOUR TIME AND SECURE YOUR FINANCIAL AND BUSINESS WITH THE RIGHT INSURANCE.
HOTLINE L&G 24 JAM: 0811-8507-773(CALL – WHATSAPP – SMS)
Website: lngrisk.co.id
Email: halo@lngrisk.co.id
—
