Even if you don't own your building, it's a good idea to obtain equipment breakdown insurance, especially if your firm's survival depends on properly operating equipment owned and run by a crucial provider, like a local power company.

For instance, if your pizza store relies on walk-in customers and online orders, it will suffer if a power surge knocks out the power. In a power outage, processing online orders, losing heat or air, preparing, cooking, serving, and selling meals may be impossible. Additionally, your food supply may spoil if the power is down for an extended period.

In this example, equipment breakdown insurance may help pay for the following:

• The price of labor and materials needed to fix and replace your damaged equipment.
• The cost to replace any spoiled food.
• The cost to repair your walk-in refrigerator and replace a computer damaged by a power surge that occurred when the electricity was restored.
• The business income you lost while the power was out.

If your business could suffer from an equipment breakdown, this optional coverage may be a good choice. Our team can help you understand your policy's coverage and whether your business may benefit from additional protections such as equipment breakdown coverage.