Boiler & Machinery Boiler & Machinery Insurance: Protection for Equipment Breakdowns * Craft Store - a small air-conditioning unit (10 ton) failed because of a lack of coolant. Total loss amounted to $10,100. * Community College - a bearing in an air-conditioning compressor broke which allowed the impellers to drop down enough to cause them to break off as they struck the side of the compressor housing. This led the motor to overheat and finally burn out as well. The cost to replace this unit, which was rated at 800 ton, was over $150,000. * Nursing Home - a design problem on a pair of heating boilers caused severe cracking to occur around the burners. Before this problem was detected the boilers had undergone several repairs each costing $3,000 to $7,500 each. Final repair was $20,000. * Plastic Products Manufacturer - due to insufficient cable size, a transformer overheated and arced causing extensive damage to itself and the MEA panels of the plant. Emergency generators were brought in to keep the business in operation. Total property damage was $48,000 and $10,000 extra expense. Few businesses or public entities expect their boilers to explode or vital machinery to break down. Unfortunately, these types of disasters do happen, and they are usually a major disruption. They can also be extremely costly - especially if you're not prepared. While your machinery is at a standstill waiting to be repaired or replaced, your operations will likely come to a halt too. Boiler and machinery insurance is a life-saver in this time of urgency.		This coverage helps you cover your losses in a variety of perils, including breakdowns in heating, air conditioning, refrigeration, compressors, steam boilers and steam piping, electrical systems, and more. Since standard property policies do not cover mechanical, electrical, or pressure breakdowns, boiler and machinery insurance is essential. Here are some of the losses this policy covers: * Equipment repair * Extra expenses incurred to get operations running again * Income that may be lost due to suspended operations * Product loss resulting from equipment breakdowns * Legal liability for property that is in your control, custody, or care To avoid even having such a disruptive breakdown at your organization, preventive maintenance is still the best form of risk management. Even when there is no apparent problem with your equipment, it's crucial to establish a schedule of regular inspections and necessary repairs. Boiler and machinery damage can lead to huge losses. The consequences may go far beyond equipment loss and disruption of your operations. Sometimes, these accidents can result in severe damage to surrounding properties, and perhaps cause serious injuries or loss of life. Are you prepared for these possibilities? Please call us for more information on how you can protect your organization with boiler and machinery coverage.

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