Why Do I Need Equipment Breakdown Coverage?

We’re back with another frequently asked question in the auto body shop and garage field. This week, we would like to discuss the need for equipment breakdown coverage.

Depending on the equipment and tools that your shop uses on a daily basis, you may be in dire need of this specialized policy. All too often, business owners will be denied coverage because he or she “assumed” that their property insurance covered ALL equipment. At times, this is not the case because property insurance may only cover external causes – not internal causes.

So, why should you consider this policy? Here are just a few reasons:

  •  New technology, such as computerized equipment, is subject to breakdowns. If your shop uses any type of new technology, you may find out how expensive it can be to repair. Having this coverage in place may aid you during such times.
  •  Do your employees travel with equipment from the shop? If a breakdown or accident occurs in a place other than onsite, it may not be insured by a traditional property policy.
  •  Equipment breakdown coverage may cover a number of assets, including: heating systems, boiler and pressure vessels, electrical systems, production machinery, air conditioning systems, and much more.

As you can see, this policy could come in handy when something unexpected happens. The last thing that you need as the owner of a shop is to experience an interruption in business – this could cost you tens or even hundreds of thousands of dollars.

At Wolpert Insurance we try to guide our clients to the insurance solutions that they feel are right for them. With that being said, we believe that many garage and auto body repair shop owners will benefit greatly by having equipment breakdown coverage in place. If you are interested in learning more about this specific garage insurance policy, do not hesitate to call us at 800-299-6819. We would be more than happy to go into further detail!