Here’s why you should consider getting equipment breakdown coverage for your business.
While most business owners know that they need coverages such as workers compensation insurance, commercial property insurance, and general liability insurance; there are other specialty coverages that they should consider. For instance, if your business relies on the use of specialty equipment, you should consider getting equipment breakdown coverage. Here’s what you need to know about this type of policy.
Commercial Property Insurance Isn’t Providing the Coverage You Need
While a standard commercial property insurance policy will cover equipment damages and losses that result from things like vandalism and theft, it doesn’t provide coverage if damages arise from other causes. For instance, if your equipment is damaged due to electrical arcing, mechanical breakdown, or explosion of boilers and pressure valves, don’t expect your commercial property policy to kick in.
What Does Equipment Breakdown Insurance Cover?
This type of insurance covers sudden and accidental damage to equipment that requires repairs or replacement. This type of policy applies to the following categories of equipment:
- Air Conditioning
- Boiler and Pressure Vessel
- Computer and Communications
- Renewable and Alternative Energy
- Production Systems
Do I Need This Coverage?
While equipment breakdown coverage is not a mandated type of coverage, the bottom line is that most businesses should carry this type of insurance. If you are unsure, think about what would happen if your equipment were to suddenly break down. If you could not afford to make the necessary repairs, then your business’s operations would come to a halt. You would be unable to fill orders, you would likely lose your customer base, and you would experience a huge loss of revenue. When you consider the negative impact that equipment breakdown would have on your business, you might recognize how important it is to get the coverage that you need.
Here’s why you should seriously consider getting equipment breakdown insurance for your business. Need help finding the right commercial coverage for your business? Don’t hesitate to contact us at Weaver & Associates in Arcadia, California. Our dedicated professionals are ready to get you the coverage you need today.