Everything you need to know about engineering insurance
Everything you need to know about engineering insurance 28th August 2019
Does your business rely heavily on machines and equipment? If yes, then you surely must’ve heard about machinery breakdown insurance. Even if you haven’t, worry not, we’re here to explain
Businesses that have machines running day-in-day-out are susceptible to loss if there is any physical damage to the machines or if they break down. Even if the daily wear and tear are monitored, it is impossible to predict a breakdown. But what you can do is be prepared for such situations by having a machinery breakdown insurance.
What is covered by this type of insurance?
Loss or damage due to:
- A mechanical breakdown
- An electrical breakdown
- Accidental external factors
The cover is applicable:
- When the machinery is operating
- When it is at rest
- When it is in the process of getting dismantled
- When it is being overhauled or subsequently being re-erected at the same premises.
The machinery breakdown insurance that we provide also has the following additional covers:
- Air Freight
- Express Freight
- Insured’s own surrounding property
- Third party liability
- Additional custom duty
What is not covered by this type of insurance?
Loss or damage due to:
- Natural calamities like lightning, flood, earthquake, landslides, etc.
- Burglary or theft
- Damage caused due to impact by land-borne/water-borne craft.
- Wear and tear, faults or defects that existed when the insurance period started and was either known to you or ought to have been known to you.
- Faults or defects for which the supplier is responsible either by law or under contract
- War or war-like operations
- Wilful acts or gross negligence on your or your representative’s part
- Accidental loss or damage due to overload experiments or tests requiring the imposition of abnormal conditions
- Loss of or damage to the different types of belts, ropes, chains, and other exchangeable tools
- Loss of or damage to objects made of glass, porcelain, ceramics, all operating media, etc
- Flaws, defects, cracks or partial fractures that develop gradually in any part not necessitating immediate stoppage
Machines and equipment form an integral part of some businesses. If your business is one of them, then you definitely must own insurance that protects your machinery against unforeseen circumstances. Specific insurance policies such as this one are made to ensure that if something does go wrong, business owners have a reliable option to fall back on.