man and woman looking at tablet in office

Do You Know Your Equipment Risks?

As your business depends on equipment to function properly, and to maintain a revenue stream, any breakdown could be a potentially devastating financial experience.

Although technology benefits modern society and the business world, with increased functionality and usability features, it also possesses many risks that make business insurance essential. A few of these risks include:

    Threat of equipment breakdown is greater because technology is fragile and circuitry is sensitive
    Income is lost when equipment breaks down. Many businesses rely on equipment such as telecommunications, email and e-commerce to survive
    Businesses have technology that works with one another and is connected. If one system is affected, other systems can experience damage as well
    Even if your business is a tenant of another facility, an equipment breakdown can affect your bottom line
    Obtaining the parts to fix problems can be a lengthy process
    Equipment may be located in parts of your facility that are hard to reach. Repairs may be hard to make and there may be no warning of a problem since the equipment is out of sight

The Top 5 Most Common Equipment Breakdowns

The following are typically covered under our Red Bank business equipment insurance:

    Property damage: Cost to repair or replace damaged equipment due to an accident
    Off-Premises Property Damage: Covers portable equipment damaged away from the covered location
    Business income: Income lost resulting from a covered accident until equipment is replaced or repaired. Allows for additional time after repair or replacement to assure that the business is operating at full capacity
    Contingent business income: Income lost after a breakdown at an essential customer or supplier location
    Extra expense: Additional expenses incurred to keep the company going after a loss (e.g., equipment rental fees)
    Service interruption: Income lost and extra expenses incurred after a breakdown at a supplier with whom the insured had a contract. If no contract exists, the equipment must be located within one mile of the insured’s location
    Perishable goods: Food spoilage, manufactured goods or other perishable items lost after a covered incident
    Ordinance or law: Costs associated with complying with building codes and laws
    Expediting expenses: Temporary or permanent repairs to get the business going again
    Hazardous substances: Pays to clean, repair or replace areas that are contaminated by hazardous substances released in a covered loss.
    Data restoration: Pays for the restoration of lost or damaged data.
    Newly acquired locations: Pays for damage to newly acquired locations.
    Errors and omissions: Covers locations that are outlined in the policy
    Brand and labels: Need to sell a damaged product for less than retail price
    Waive of in-use restriction: Pays for damaged equipment that was not in operation at the time of a covered accident
    Computer Equipment

The next step is easy!

Call us today at (732) 649-1600 to learn how our business insurance advisors could get you the right Equipment Breakdown Insurance coverage, at the right price, and superior service. You can also Request A FREE Insurance Quote on our site or Contact an advisor for more information.