How would you be able continue business as normal?
While liability insurance will cover you for fire damage or theft of your office equipment, damage from a short circuit, power surge or brown out isn't normally covered. This means that you lose out, which is why they invented equipment breakage coverage. That raises the following question:
What exactly is equipment breakdown insurance?
Simply put, equipment breakdown coverage covers you for loss due to:
- Mechanical breakdown or
- Electrical breakdown
The good thing is that it protects you for almost every kind of equipment out there, which means your office equipment, computers, lap tops, phone systems and copy machines are covered.
What does an equipment breakdown insurance policy cover?
Your new policy will cover the cost to:
- Repair the equipment
- Replace the equipment
- Address the time and labor to repair or replace the equipment
- Repair or replace any damaged property by the equipment breakdown
- Any business income loss
- Any extra expense losses
- Replace any spoiled stock or materials
In the past, some people might have referred to this coverage as boiler and machinery insurance (BM). The thing is that today's equipment breakdown policy actually covers more than just boilers and machinery.
Some of the more common pieces of equipment covered by this policy:
- Air conditioning
- Heat pumps
- Electrical equipment
- Business equipment
- Burglar alarms & security systems
- Video camera systems
- Pressure vessels
- Diagnostic equipment
- Production machinery
- Computer-controlled machines
- Retail “point of-sale” systems (POS)
- Hot water heaters
- Heating & Ventilation systems
- Back up generators
How much equipment breakdown insurance should I get?
At first, it might seem reasonable to add up the retail value to replace all of the equipment you own.
However, here's the thing...
- What would happen if your equipment breakdown damages other property?
- What would happen if you lost several days of production?
- How would you get the lost revenue back?
This is why it is important to talk with your agent about your specific situation.
How to get an equipment breakdown insurance quote
We offer a complimentary equipment breakdown insurance consultation. We will take the time to understand your organization, the specific industry and equipment that you use. Contact us today at (877) 341-5728 to schedule your free, no strings attached, equipment breakdown consultation today.