What does Equipment Breakdown Insurance mean? Read on to discover the definition & meaning of the term Equipment Breakdown Insurance - to help you better understand the language used in insurance policies.
Equipment Breakdown Insurance
Coverage for loss due to mechanical or electrical breakdown of nearly any type of equipment, including photocopiers and computers. Coverage applies to the cost to repair or replace the equipment and any other property damaged by the equipment breakdown. Resulting business income and extra expense loss is often covered as well. Equipment breakdown insurance is increasingly replacing traditional boiler and machinery (BM) insurance, in part simply because the title is more descriptive of the coverage provided. Also, today's equipment breakdown policies typically provide slightly broader coverage than traditional BM policies, and they usually do not use the specialized terminology found in traditional BM policies.
We hope the you have a better understanding of the meaning of Equipment Breakdown Insurance.