The manufacturing industry provides many important products for consumers. These operations require a lot of complex machinery to produce their goods, but something as simple as a power surge could cause extensive damage to a vital piece of equipment that could wind up requiring expensive repairs. Texas Preferred Insurance can help by providing you with commercial property coverage in the event of the loss of production while your equipment is out of commission and being repaired.
What is commercial property coverage?
Commercial property coverage is a basic form of business insurance and comes standard in most business policies. As a business owner, you probably already have this coverage in place. But realize that each policy from various insurance carriers may differ in terms and conditions, and this includes exclusions and limitations. You should check with your agent or insurer for the specifics of your particular policy.
An equipment breakdown insurance policy will specifically help to pay the costs for equipment failure. A property/casualty policy only covers damage to equipment from “external causes.” For example, damages resulting from a fire or a flood. This is why it’s so important to understand the different types of coverage available and what they will and will not cover.
Newer technology often consists of a lot of fragile electronic and computerized circuits and parts. Computers, business machines and other equipment are subject to breakdowns that can happen with much more frequency and be more costly than the older, more traditional mechanical equipment. Internet marketing makes all businesses more dependent than ever on computer systems, as well as other valuable manufacturing equipment.
This creates other problems as well. Critical business information cannot be accessed during periods of equipment breakdown. So there are several ways that your business could be impacted due to equipment failure or breakdown. Adding to your concerns is the fact that employees are now working from home, or traveling with company equipment that was once only accessed from a fixed location, so breakdowns can now occur in places other than the ones insured under traditional property/casualty policies.
Don’t let the unexpected power outage become a business interruption and cause financial heartache. Speak to an agent today and get the facts about Texas Preferred Insurance coverage.