Business Equipment Breakdown CoverageRunning a business requires commitment, time, and energy, but keeping your business operations intact requires all that, on top of having the right type of business insurance protection.  Day to day operations may seem to run smoothly, but what happens when they don’t, and your business operations come to a screeching halt?  If you have not heard of equipment breakdown coverage for your business, it may be something your small business needs right now before you are faced with an equipment breakdown.  Bottom line is your business will lose money if your equipment breaks down and you don’t have this type of coverage.

Equipment Breakdown Coverage Defined

There are many specific causes of loss that are specifically excluded under a typical Alabama commercial property policy, thus the need for this separate policy which buys back coverage when it’s needed the most. Originally coined as Boiler & Machinery, it applies to several types of equipment to include, but not limited to:

  • Refrigeration
  • Boilers and Furnaces
  • Telephone Systems
  • Home Security Systems
  • Heating/Cooling Systems
  • Electronics
  • Electrical/Mechanical Systems

It is designed to provide coverage for losses such as electrical surges, mechanical breakdown, and explosion of steam boilers/pipes that create an interruption of your business operations, that are normally excluded from most Alabama commercial property policies.

Typical equipment and breakdown insurance typically covers the cost to repair/replace the business equipment, including time and labor, along with lost business income. If there was food spoilage, that would be covered too.


Imagine running a catering business when your refrigeration systems malfunction.  Now you are faced with unfulfilled food orders, food spoilage, and a halt in your business dealings.  Without this type of insurance protection, you could be faced with some serious financial challenges, not to mention your business reputation. You need to be prepared for situations that can and do happen if you want to protect the future of your business.

Certain businesses have a much higher risk exposure than others, but you need to have the peace of mind knowing if something breaks down, you will be covered. If you don’t have this coverage and think your business will benefit from it, call our offices at Burkett & Associates Insurance Agency and we will assist you with all your Alabama business insurance needs. Don’t wait!  Call us TODAY!