Factories that have boilers and machinery are often highly dependent upon the equipment, and operations could temporarily halt if the equipment malfunctions. One way Massachusetts businesses might protect against unexpected malfunction is by getting boiler and machinery insurance.
Boiler and machinery insurance is specialized commercial property insurance for businesses that use boilers and essential machinery. If the equipment breaks down, the insurance might cover associated costs.
Any Massachusetts business that has this equipment may want boiler and machinery coverage. If a breakdown of the equipment would result in significant loss, this coverage might help.
Boiler and machinery policies are commonly purchased by manufacturers, but they can also be used in other settings. The coverage might also be appropriate for large buildings that are heated with boilers, and in some other cases.
Depending on the terms and conditions of a policy, boiler and machinery policies may cover multiple types of equipment:
Boiler and machinery policies can protect against a fairly wide range of risks if their terms allow it. Some causes of breakdown that a policy might cover are:
In the event of a covered malfunction, boiler and machinery policies might help cover a variety of costs. These can include:
Boiler and machinery policies are similar to equipment breakdown policies in many ways, and some insurers almost exclusively now offer only equipment breakdown coverage. There is a historical distinction between the two types of insurance, however, and that distinction still sometimes holds true today.
Boiler and machinery policies have historically been limited to boilers and machinery such as those listed above. It’s most often purchased by factories and large buildings that have this equipment.
Equipment breakdown policies tend to have broader terms that allow them to cover more diverse equipment. These policies might cover boilers and machinery, as well as food refrigeration and cooking equipment, point of sale equipment, electronics and more.
To further add to the confusion, boiler and machinery policies are sometimes simply called equipment breakdown policies. In order to accurately understand what equipment a policy will cover, it’s necessary to closely review the specific policy’s terms and conditions.
An insurance agent who specializes in these coverages can help review the terms of different policies. They’ll have the expertise needed to make sure a policy provides good protection for a business’s equipment, whether the policy ends up being a boiler and machinery policy, or an equipment breakdown one.
For help insuring boilers, machinery and other major equipment, contact the independent insurance agents at Garrity Insurance. Our agents are well-versed in these policies, and they can recommend the best boiler and machinery insurance options regardless of which Massachusetts insurance company offers them. With our assistance, you can have confidence that your equipment is protected against many causes of malfunction.