Commercial Insurance
Wineries
Winery – Equipment
Breakdown
Wineries today, like most
other businesses, are more
dependant then ever on
highly complex and fragile
equipment and systems to
maintain operations. Because
of the dependence on this
technology a breakdown at
any part of the operation
can cause down time and
delays and perhaps damage
the wine making process and
possibly loss of revenue.
While equipment and
systems are covered by the
standard fire policy for
fire and other perils they
are not covered for
breakdown. All businesses
need equipment breakdown
insurance as part of their
risk management program.
This insurance protects:
- Electrical Panels,
Motors and other Electrical
Driven Devices
- Air Conditioning and
Refrigeration (cooling
jackets)
- Boilers or Pressure
Vessels
- Computers and
Communication Equipment
- Mechanical Equipment
Mark MacGougan, assistant
vice president of the
Hartford Steam Boiler
Inspection and Insurance
Company states that
Equipment Breakdown
Insurance is like
your companies Health and
disability insurance for
your equipment. If there is
an accident this policy
provides coverage including
loss or income.
Wear and tear and
software issues are not
covered; there must be some
sort of accident to hardware
or equipment. A power surge
that damages a computer
system or destroys an
electrical panel is an
accident as is a part
breaking unexpectedly in a
piece of equipment.
An example of an accident
that should be covered by
Equipment Breakdown
Insurance is a power surge
that damages the control
panel or causes the need for
an electrician to reset the
equipment or replace fuses
for critical equipment. Many
times these accidents are
just considered maintenance
and paid for by the insured,
not the insurance carrier.
It pays to ask if something
is covered or just wear and
tear.
(click on image to enlarge)
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