Machinery Breakdown

This insurance covers the cost of repairing or replacing insured machinery following breakdown. It also includes electronic or mechanical machinery and equipment, such as boilers, pressure plants, refrigerators and air conditioners.

Did you know?

‘Breakdown’ generally refers to unforeseen and sudden physical damage to machinery from any cause not excluded which requires repair or replacement to enable normal working to continue.

What’s typically covered?

Any item or items of machinery, or any part of a machine referred to on your insurance certificate that suffers insured damage during the period of insurance.

What’s typically NOT covered?

Loss or damage arising from:

  1. Fire, smoke, soot, or chemical explosion (other than an explosion of flue gas in boilers)
  2. Extinguishing a fire including subsequent demolition or repair work
  3. Lightning
  4. Impact of land borne vehicles, aircraft or watercraft
  5. Earthquake, subterranean fire or volcanic eruption
  6. Landslip or subsidence
  7. Storm; wind, water or flood
  8. Water escaping, discharged or leaking from any source which is external to the machinery insured
  9. Theft or burglary
  10. Intentional or malicious damage
  11. The carrying out of tests involving abnormal stresses including overloading of any insured item
  12. Turbine pumps or helical rotor pumps unless shown on your Insurance Certificate
  13. Consequential loss as a result of the breakdown of machinery

Things to consider

  • Is your business reliant on important and expensive machinery to operate?
  • Do you have the spare cash to continually fund repairs to and replacement of the machinery that business operations depend on?
  • Do you have stock I keep in cold storage? Is the stock covered if it is damaged due the breakdown of the refrigeration unit?