Equipment Breakdown and Commercial Insurance in Massachusetts!

December 20, 2011

Everything breaks down eventually but many business owners may not know that equipment failure coverage may be able to be included in their commercial insurance in Massachusetts. Enterprises that rely on expensive or specialized equipment may be particularly interested in this type of coverage as the breakdown of specialized equipment can result in extensive delays and lost productivity.

For those that do have this type of coverage in place, it can also pay to have a plan in place for equipment breakdown, much the same as you might have a post-disaster plan in place. In the event of a major breakdown there could be a number of things to attend to, particularly if parts need to come from interstate or overseas and the repair is likely to take some time.

  1. Can a replacement be found and brought in?
  2. You’ll need to contact clients if orders are likely to be delayed.
  3. You may wish to contact suppliers to delay deliveries of stock or other items that won’t be needed while equipment is down.
  4. Will your employees need to be stood down temporarily or can the tasks be done manually?

No matter how much coverage can be obtained with commercial insurance in Massachusetts, business owners should have a range of contingency plans and be ready to enact them. That way you can be at least a little prepared for anything – from a disaster that requires evacuation and temporary closure, to an equipment breakdown.