Machinery Breakdown Insurance

This policy is an ideal cover for all kinds of plant and machinery. It covers the financial loss incurred by the insured due to loss or damage to machinery as a result of sudden accidental electrical and mechanical breakdown.

• Who can take this Insurance: This cover can be taken by the individual owner of the machine or a person or company having financial interest in the machine.

• What kind of machines can be covered: All types of industrial machinery can be covered under this policy.
• What is the sum insured: It is a requirement of this policy that the sum insured or value for which the particular machine is insured should represent the present day purchase value of a similar new machine including installation costs and customs duty, where applicable.

Scope of Cover

This policy covers;

• Unforeseen and sudden physical damage to the insured machinery
• Any cause not specifically excluded
• Whilst in the specified premises
• Necessitating its immediate repair or replacement.

Risk Covered

The following risks are covered by this policy:

• Short circuiting, excess voltage & electrical arcing
• Faulty design, faulty material and faulty casting
• Carelessness and lack of skill in the operation and maintenance of machinery
• Vibration, maladjustment, misalignment
• Defective lubrication, loosening of parts
• Abnormal stress, fatigue, self heating
• Centrifugal force and excessive electrical pressure

Significant General Exclusions:

• War & civil war or riot, strike and kindred risks
• Nuclear risks