One of the best things about the modern world is the vast amount of technology we have. We now have the ability to do entirely new activities in our lives, and plenty of the things we’ve always been able to do can now be done more efficiently. While this has had an incredibly positive impact on our personal lives, businesses have also benefited greatly. It was only a few decades ago when wonders such as heating and air conditioning didn’t exist, which impacts any business with a physical location, making their clients and employees much more comfortable. Massive refrigeration systems keep plenty of food at a cold enough temperature for long enough to be stored on-site and then sold to a customer. It also goes beyond temperature control, as many factories physically couldn’t function without the machines helping with the production process.
Almost every business is helped by some advanced tech, and many companies, such as factories, need their expensive equipment to function as intended. This seems fine until it isn’t. Much of this technology’s output can’t be replaced by human labour, meaning that if it shuts down, then the company using it is in a tough situation. Luckily, there is machinery breakdown insurance. Ontario commercial policies with this insurance coverage ensure that when your business suffers from an unexpected machinery breakdown, you have the protection you need to recover from unexpected equipment downtime and repairs.
Different businesses will have different equipment and machinery, so it can be hard to determine by yourself what your needs are for equipment breakdown insurance. Ontario’s top brokers at Morison Insurance, however, are experts when it comes to business insurance and will ensure that no matter if it’s a refrigeration unit or an AC, you have the financial protection you need in the face of crucial equipment breakdown. Contact us today to learn more about your options for machinery breakdown insurance in Ontario.
Ontario businesses rely on a lot of expensive machinery or equipment. Equipment breakdown insurance in Ontario, also called boiler and machinery insurance, is a form of business insurance designed to help pay for the replacement or repair of highly expensive types of machinery that have suddenly or accidentally broken down.
For example, you run a large factory that builds cars, and you have manufacturing equipment that is vital to your company's operations. While your employees are probably capable of performing some of the tasks done by your key equipment, they won’t be nearly as efficient. Worse yet, your mechanical equipment performs some tasks that can’t be done by your employees at all. That means your company can’t produce its product anymore and will have to pay for costly repairs or replacement of the damaged equipment, likely making a massive dent in your finances. If you have equipment breakdown insurance in Ontario, your insurance policy could cover the cost of repairs for or replacement of your insured equipment. This will give you peace of mind that you are covered even in a worst-case scenario.
Basically, anyone who runs a company that uses expensive business equipment would benefit from taking advantage of equipment and machinery breakdown insurance along with building owners that have boilers, elevators, AC systems that are part of the building functions. Ontario businesses, after all, tend to require a lot of costly equipment to operate, and while a single laptop or telephone likely isn’t worth claiming for, there are machines out there that cost tens of thousands of dollars and are needed for a company to keep its business running. Losing one of these devices because of permanent damage caused by a power outage or a simple mechanical breakdown can harm a business, possibly causing it to shut down temporarily. The costs of repairing or replacing the machinery might be significant enough to slow down or entirely stop a business’ growth.
But with coverage for equipment breakdown insurance in Ontario, you will be able to protect many categories of equipment that are valuable for different reasons for your business, allowing you to stay in business despite a devastating breakdown.
Some different types of machinery covered by equipment breakdown insurance in Ontario include:
In addition to the costs associated with repairing the damaged machine, equipment breakdown insurance in Ontario can also cover things such as lost income due to business interruption, the cost of replacing spoiled goods, and the costs of regulatory inspections following the equipment failure. To learn more about what is covered by your commercial insurance or machinery breakdown insurance in Ontario, give our Morison Insurance brokers a call today.
Ontario business insurance isn’t one-size-fits-all, and there are many types of equipment that can be covered under a policy for equipment breakdown insurance. Ontario machinery policies, after all, aim to protect them in the case of sudden, unexpected, or unavoidable breakdowns, such as electrical surges, mechanical failures, and other common types of incidents that can cause important pieces of equipment to suddenly lose function.
One example of something covered by machinery breakdown coverage would be refrigeration equipment. If there is a power surge or a mechanical breakdown, a company’s refrigeration units can stop working, leading to food spoilage if not handled quickly. In such a case, equipment breakdown insurance in Ontario can cover the cost of repairing the damaged equipment before the loss of food due to spoilage. Some plans may also compensate the insured party for spoilage if perishable items go bad as a result of an insured peril.
Other types of equipment covered include food processing equipment, communication systems, phone systems, and other electrical equipment. HVAC equipment, such as air conditioning systems and boiler machines, are also protected. If you want to know if your equipment can be covered by equipment breakdown insurance in Ontario or to learn more about your potential coverage options, please speak with your Morison Insurance broker about your coverage options for this machinery insurance.
Ontario equipment breakdown policies typically cover mechanical or electrical breakdowns and physical damage caused by internal forces. This can include:
If you are unsure about what events are or aren’t covered by your equipment breakdown insurance, Ontario professionals at Morison Insurance will be happy to go over your policy document with you, and help you get the right coverage for your business equipment and machine's needs.
Although equipment breakdown insurance in Ontario is very versatile and covers the costs of repairs and replacements for a wide variety of potential losses, it does not cover all incidents. It is designed to cover sudden losses where the insured had little time to prevent a loss. Having coverage for equipment breakdown insurance in Ontario will not cover any damage done intentionally by the user. It also does not cover instances where damage was the result of wear and tear or a lack of maintenance on the part of the user.
If you have any questions about whether your equipment would be covered in the event of a potential incident or what exclusions are listed under your machinery breakdown insurance, Ontario brokers at Morison Insurance will be happy to answer them.
Many people are under the mistaken belief that having commercial property insurance will cover everything that happens on a business premises, including machinery breakdowns. Insurance in Ontario, however, is not so straightforward. Commercial property insurance is meant to protect your business premises from loss or damage caused by unexpected events and external factors, such as fire, theft, or vandalism. So if there was a fire on your property that destroyed a refrigeration unit, for example, your property policy will cover the costs of replacing it. It will not, however, cover the cost of fixing a piece of equipment should it unexpectedly break down. Any sudden and accidental breakdowns due to mechanical failures, electrical issues, power surges, operator errors, or other types of internal damage are covered by equipment breakdown insurance.
Ontario equipment breakdown coverage is meant to fill this gap in most commercial property insurance policies. This is because a business can have such a wide range of complex equipment and machinery, making it hard to account for every issue it may suffer. Additionally, by excluding breakdowns in commercial property policies, insurance providers can encourage businesses to maintain and take better care of their equipment to help reduce the risk of breakdowns impacting their business.
As a business’s insurance needs can differ so greatly, commercial insurance policies can’t account for absolutely everything, as what one business may need coverage for might be considered to be a waste of money by another business. However, policies can be customizable to include additional coverage for things such as product liability insurance, business interruption insurance, and equipment breakdown coverage to help provide you with the comprehensive coverage you need to protect against business losses. By providing coverage options like equipment breakdown insurance, Ontario insurance companies can help bridge any coverage gaps, allowing you to safeguard your business against any mechanical and electrical breakdowns by your insured machinery.
There is no set cost for equipment breakdown insurance. Ontario insurance policies can greatly differ from one another because no two businesses are the same, so every company will have a different quote for their equipment breakdown insurance. Ontario insurance brokers will also caution that because each insurance company will consider different factors in their own unique ways when calculating insurance costs, there’s no set formula that you can use to determine your rate for machinery breakdown insurance.
Ontario insurance rates aren’t completely unpredictable though. Some common factors that could potentially impact your equipment insurance quote include, but are not limited to:
Please note that this is not a complete list of things that could potentially impact your quote for equipment breakdown insurance in Ontario. If you would like to know other possible details that could increase or decrease your premium, your Morison Insurance broker would be happy to let you know.
Ontario residents don’t want to pay more for their insurance than they need to, and that is especially true for business owners looking to keep the costs of doing business down. Given the vast number of factors that could potentially impact the cost of your machinery breakdown insurance in Ontario, you might begin to wonder if any of these factors are within your control. There are a few actions you can take to keep costs lower. They include:
Ontario brokers at Morison Insurance will also look to find ways to help you get more affordable machinery breakdown insurance. Ontario insurance discounts, such as bundling policies, can help you save on your overall business insurance, so make sure to ask us about other ways you can save on your business or personal insurance.
You can get an equipment breakdown insurance quote by contacting the team at Morison Insurance. We’re a 5-star brokerage with over a century of history of helping our clients find the insurance package that’s the best fit for them. We are a proudly Canadian company who has access to dozens of leading insurance companies and we will ensure you get the best equipment breakdown insurance quote for your specific business needs. Get started today by calling us at 1-800-463-8074 or buy filling out the form below. You’ll be glad you contacted us about equipment breakdown insurance in Ontario!
