Why Your Business May Need Equipment Breakdown Coverage
As a business owner, you may rely on a few key pieces of equipment or machinery in order to run your company. If an appliance in your business breaks down, you could be out of action and out of income for days or even weeks. This is where equipment breakdown coverage comes in. It is an insurance policy that is an important part of any type of sound business insurance package.
New technology with fragile electronic equipment that is subject to breakdowns can be costly. Equipment breakdown coverage steps in to help pay for losses to covered equipment as a result of:
- mechanical breakdown
- short circuits
- electrical arcing
- power surges
- motor burnout
- operator error
- and more!
This type of policy can cover mechanical equipment, electrical distribution systems, and HVAC units.
If your equipment does break down, it may either need to be repaired or replaced, each of which will cost money. During this time, you may need to rent equipment so that you can keep your business running. Regardless, there is a strong likelihood that you will not be able to provide for your customers efficiently, which can result in disastrous financial consequences and damage to your reputation. With equipment breakdown coverage, you have the financial support to get it repaired and replaced quickly so that you can get back on track.
Keep in mind that even if some of the equipment is covered by the manufacturer’s warranties, they will often exclude situations like operator error. Fortunately, such a situation is included in an equipment breakdown policy.
Make sure your business has reliable business insurance in place. For help getting started, talk to the team at UniVista Insurance Hialeah|Cutler Bay. We are happy to help protect your business.