Get In the Know: Protect Your Equipment from Theft

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Get In the Know Protect Your Equipment from
Theft
Presented by
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Agenda

• Equipment Theft A Large and Growing
  Problem
• Facts You Should Know The Who, What,
  When, Where Why of Theft
• Protecting Your Equipment From Theft A
  Practical, Step-by-Step Approach
• Questions Answers

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Equipment Theft Large and Growing Problem
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Equipment Theft The Problem

• Annual cost of theft as high as 1 billion
• 72 have experienced theft
• 76 never saw their equipment again
• 65 of equipment recovered was damaged

Has your company experienced equipment theft in
the last 5 years?
Source LoJack 2005 Theft Study
Source - NICB
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The Price of Equipment Theft
Direct Costs

• Initial investment
• Deductibles
• Project delays
• Equipment replacement

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The Price of Equipment Theft
Hidden Costs
Beyond the loss of equipment, what other impact
has equipment theft had on your firm?
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Losses from Uninsured Equipment
Costs for Added Site Security
Increased Insurance Premiums
Job Delays
Contract Penalties
Source LoJack 2006 Theft Study
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Facts You Should Know The Who, What, When,
Where Why of Theft
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Whos Behind Theft and Why?

• Organized crime rings
• They know just what they wantand how to get it
• A profitable undertaking
• Most heavy equipment carries a hefty price tag
• With typically low risks
• Lack of site/vehicle security investigation
  issues
• Lack of attention from law enforcement
• Lack of familiarity with equipment

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What is the Most Common Stolen Equipment?

• Thieves target equipment that is
• In-demand and easy to resell
• Easy to remove from jobsites
• Smaller and more versatile
• Skid steers, mini-excavators, mini-track loaders
• Towables easy pickins
• Generators, compressors, welders

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Top Stolen Equipment
2007 Top Stolen Equipment Categories
Source LoJack 2007 Theft Study
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Where When is Equipment Stolen?

• Equipment is typically
• stolen from jobsites
• Equipment yards /
• storage facilities are
• also targeted
• The vast majority of
• equipment thieves
• operate at night
• Weekend thefts are common
• Theft often not discovered until Monday morning

Source LoJack Theft Study
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What Happens to Stolen Equipment?

• Taken to a remote location for a cooling
• off period or concealed in a garage/
  warehouse
• Taken to another job site
• Taken to a theft ring operation where PINs are
  removed
• and item is readied for resale

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Hot States for Theft - 2007
Hot Theft State
Source LoJack 2007 Theft Study
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Why is Equipment Vulnerable to Theft?

• Theft detection issues
• Remote sites, weak inventory control
• Relatively easy to change identity of equipment
• No unique identifiers
• Law enforcement usually more focused on vehicle
  theft
• And investigation challenges
• Lack of standards for PINs, S/Ns
• Lack of documentation for equipment

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Protecting Your Equipment From Theft A
Practical, Step-by-Step Approach
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How to Protect Your Equipment and Business From
Theft

• Good Records are Essential
• Label equipment with unique identifying numbers
• Product Identification Numbers (PIN)
• Owner Applied Number (OAN)
• Mark numbers in multiple locations
• Keep accurate inventory records
• Record manufacturer, model number, year, PIN and
• purchase date
• Record serial numbers of each major component
  part

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How to Protect Your Business and Equipment from
Theft

• Focus on Physical Security
• Fence in or park equipment together to deter
  access
• Communicate with law enforcement
• Request more frequent patrols
• Use immobilization devices such as wheel locks,
  fuel
• shut-offs or ignition locks
• Install battery-disconnect switches
• Install equipment tracking devices for
• Equipment recovery (LoJack) or
• Asset management (GPS solutions)
• Register equipment with a national database

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What to do if Equipment is Stolen

• Contact police immediately to file a stolen
  equipment report
• Provide the following information
• Manufacturer
• Model number and color
• Serial or Product Identification Number (PIN)
• Date of purchase
• Identifying marks
• File an insurance claim within 24 hours of theft
• Provide a copy of the police report or the case
  number
• Spread the word

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Commercial Recovery Story Highlights
Stolen Mini Excavator Leads to Shipping Container

• A LoJack-equipped Takeuchi Mini Excavator was
  stolen from a rental company in VA and tracked to
  a ship docked at a SC port.
• Officials followed the signal to a shipping
  container and found the mini excavator and two
  Bobcat skid steers, a John Deer skid steer, two
  trailers and a rotary hammer.
• The equipments journey began at three different
  rental companies in VA and then moved to Chicago
  and NY before landing at the ship in SC.
• Total value of the recovery was 175,000.

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Commercial Recovery Story Highlights Cont.
LoJack System Leads Chicago-Area Police to Bust
900k Construction Theft Ring

• By tracking a LoJack-equipped International
  truck, Chicago-area police discovered a major
  chop shop involving several stolen trucks and
  more than 30 pieces of equipment valued at
  900,000.
• The site was declared a hazmat zone because so
  much diesel fuel and other toxic substances had
  been dumped on the ground without any
  precautions.
• Police apprehended the criminals behind this
  organized theft ring.

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Commercial Recovery Story Highlights Cont.
Aircraft Tracks Roller to Theft Ring

• A Caterpillar Asphalt Roller and trailer were
  stolen from a construction site in Fresno County.
• Five hours later the flight crew of the
  California Highway Patrol picked up the LoJack
  signal, and tracked the equipment to a residence
  in Raisin City.
• Auto theft investigators not only found the
  roller and trailer, but also a Bobcat, three John
  Deere Tractors, a Yamaha ATV, an Airman
  Compressor and two farm implement trailers all
  of which were stolen.
• Total value of theft ring bust was 200,000.

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Resources

• National Insurance Crime Bureau (NICB)
• LoJack Corporation
• Associated Equipment Distributors (AED)
• Association of Equipment Management
  Professionals (AEMP)
• Inland Marine Underwriters Association (IMUA)
• Stolen Heavy Construction Equipment Bulletin
• Association of General Contractors (AGC)
• California Crime Prevention Council
• International Association of Auto Theft
  Investigators (IAATI)
• Industry Publications

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Questions Answers