Even with expert installation and regular maintenance, equipment breaks down. And when mechanical or electrical failures occur, you need to know that your healthcare facility's operations are safe and you can continue to keep your doors open. Basic property polices may only cover damage caused by external sources like fire, wind and rain. Without the right insurance, this can take a toll on your organization's budget in the form of costly repairs and lost productivity.
Equipment Breakdown addresses areas that are not typically covered in standard commercial property insurance, such as damage caused by "electrical arcing" — a faulty electric current that jumps a gap — resulting from a breakdown of equipment. Also, certain perishable property that is spoiled by this incident, such as food, drugs and plasma, may be covered. Coverage is not limited to medical equipment and can include boilers, HVAC, computers, phones, back up generators and refrigeration equipment. In addition, extra expenses that your facility may incur from a covered breakdown of utility services are also addressed by this coverage.