In 2019, Indiana had 6,780,466,000 commercial insurance claims paid. Part of those was due to property losses. Business equipment breakdown coverage is necessary protection when you run a company.
An independent insurance agent can help you find a policy for a low price. They have access to several markets, giving you options on premium and coverage. Connect with a local adviser for tailored quotes.
What Is Equipment Breakdown Insurance?
If you live in or operate a business in Indiana, equipment breakdown coverage can be added to your policies. It can be included on your personal and business insurance alike. The amount of coverage and types of equipment covered will be specific to you.
- Equipment breakdown coverage: Will pay for the repair or replacement cost of an electrical, mechanical, or pressure systems breakdown.
Sufficient limits of protection are necessary when obtaining any business insurance. Equipment breakdown can help you replace or repair an item that keeps your business running. Often a small amount of coverage is automatic in your business owners or package policies.
What Does Equipment Breakdown Insurance Cover?
Equipment breakdown coverage will provide limits of protection for a variety of claims. It will be separate from your business property insurance. Both policies will be necessary to have adequate coverage. It will provide insurance for the following types of equipment and damage.
- Power surges
- Electrical shorts
- Mechanical breakdowns
- Motor burnout
- Operator error
Equipment can typically include the following items
- Air conditioners
- Heavy machinery
- Contractors equipment
Equipment Breakdown Coverage under Home Insurance
Homeowners insurance in Indiana will be an average annual premium of $1,000. Equipment breakdown coverage can be automatically included in your policy. Some carriers may require that the limit be added as an endorsement.
A standard amount of coverage falls between $5,000 and $10,000. This can be adjusted up or down depending on your assets. The more equipment you need to insure will result in a higher limit of protection.
Equipment Breakdown Coverage under Commercial Insurance
Indiana had approximately 512,348 small businesses. Your commercial insurance policies will at times include equipment breakdown coverage. Each carrier is different, and you may need to add it.
A claim on your business equipment could go on for days and weeks. The amount of income lost could be an issue if you're not correctly insured. Equipment breakdown can help a business pay for the following.
- The repair or replacement of damaged equipment
- Lost income resulting from damaged equipment
- Spoiled inventory like food or other products
- Additional expenses accumulated as a result of damaged equipment
Does Business Property Insurance Cover Equipment Breakdown
Your Indiana business property insurance is separate from your business equipment breakdown coverage. Each is needed, and each will insure different types of losses. Business property insurance covers the following items.
- Natural disasters
Equipment breakdown coverage will apply for claims outside of the above exposures. Your business property insurance will come with a list of exclusions. Among them will be power surges, electrical shorts, mechanical breakdowns, motor burnout, and operator error.
How to Connect with an Indiana Independent Agent
When you're searching for business insurance in Indiana, a licensed professional can help. Your assets are especially vulnerable and should be protected accurately to avoid financial distress. Business equipment breakdown coverage can be added or included in your current commercial policies.
An independent insurance agent can help decipher which coverages are right for you. They work with several markets so that you have options on policy and rate. Connect with a local expert on TrustedChoice.com to get started.
TrustedChoice.com Article | Reviewed by Jeffrey Green
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