Manufacturing businesses in Canada depend on functioning equipment in order to keep operations running smoothly. When a breakdown occurs, the impact can be devastating. Every moment of downtime can mean you’re losing revenue and profit.
Equipment breakdown insurance provides coverage for equipment that has been damaged by mechanical and electrical failures, as well as other events that are typically not covered under your commercial property policy. These losses can stem from short circuits, power surges, electrical arcing, mechanical breakdown and operator error to name a few. Without the proper coverage for these breakdowns, you could face delivery delays, added costs to continue operations, and a damaged reputation.
The threat of a breakdown is increasingly prevalent as technologically advanced equipment becomes more popular, and project timelines have strict expectations. It is important to make sure your policy has kept pace with the growth and changes of your manufacturing business.
In addition to having equipment breakdown coverage for the repair or replacement of your damaged equipment, it is important to consider the business interruption portion of an equipment breakdown claim. Often, the costs associated with an interruption are far more costly than the repair itself, so it is key to ensure that your equipment breakdown policy includes robust coverage for these extra expenses and lost profits.
Equipment breakdown coverage is just one of the areas manufacturers need to consider when building your insurance package. You should also consider:
- Commercial Property
- Commercial Auto
- General Liability
- Business Interruption
- Cyber Risk
Fuse Insurance can help you develop a comprehensive manufacturing insurance program and a plan for managing and mitigating your risks. Protect your bottom line; contact one of our expert brokers today to learn more about equipment breakdown insurance. Get a quote now or contact us at 1-866-387-FUSE (3873).