Equipment Breakdown Insurance Claims in Texas
According to Hartford Steam Boiler, the leader in equipment breakdown insurance worldwide, equipment is exposed to unique risks that other property doesn’t face. Electrical short circuits, mechanical forces, overload, control failures are just a few of the causes for equipment breakdowns. Examining these kinds of losses that can and do occur, offers solid insight into why equipment breakdown insurance is important coverage for today’s equipment-intensive businesses.
According to C.N.A., one of the largest commercial insurers in the US, equipment breakdown coverage in Texas protects policyholders from a wide range of risks causing business interruption claims, including:
- Heating and Cooling Systems – accidental breakdown of your air conditioning or heating system can lead to work stoppage and productivity loss.
- Electrical Systems – a simple surge or short circuit can damage your equipment, or worse, shut down your power.
- Elevators, Security Systems and Computer-controlled Equipment – security, lighting and intercom malfunctions can compromise safety. Elevator motors and other systems operated by computers can break down, which can result in costly delays.
- Steam Systems – a steam boiler or vessel explosion can cause significant damage. Inspections may be required during the policy period.
Texas property insurance claims coverage has its limits, let TDA’s Texas public adjusters help you understand those gaps. Many policies don’t cover the risk of mechanical breakdown, electrical arcing, power surges, short circuits, or deformation/cracking of pressure containing items. Also, they fail to cover lost income and the extra expense of getting the business operating again. With equipment breakdown coverage, not only do you get protection that goes above and beyond maintenance or service contracts and warranties, you also receive additional protection from loss of income, equipment rentals, and extra expenses.
There are many issues to consider when filing a equipment breakdown claim in Texas. Is repair or replacement of your equipment necessary? Did any of the damaged property belong to you personally, or are you liable for the property of others? Additional policy coverage can apply, and The Disaster Advocates can perform a no-cost consultation to review the policy. According to C.N.A., the additional equipment breakdown damages claims policy coverage can include:
- Time Element – protects against loss of income and continuing expenses if business is suspended after a loss to your own equipment or to equipment owned by a utility which provides you electricity, gas, steam, refrigeration or communications. Also provides Extra Expense coverage to help operations continue.
- Spoilage – protects against loss of product caused by loss of your own or utility-owned equipment.
- Contingent Time Element – protects against loss to your customers or suppliers caused by equipment breakdown.
There are many departments that are affected by a business shutdown from equipment breakdown claim. The damage claims can be very unique and difficult to valuate. From repair/replacement costs, business interruption, ordinary payroll, damage or spoilage to inventory, loss of production and – the list goes on. Analyzing all aspects of loss is important when calculating the total value of the claim. Having Texas certified public adjusters on your side for business valuations and financial loss reports are essential in recovering your losses and keeping business moving forward. Whether you’re forecasting production loss value, sales value of the goods, and/or an actual report of the costs of operations, all these factors must be considered when calculating the business interruption claim. The Disaster Advocates “speak the language” of insurance claims, and are fluent in “maximizing the claim.” By hiring a professional public insurance adjuster to navigate the complicated waters of the claim settlement process in Texas, you will likely get a better settlement, and your business will get back to operations faster. We cannot emphasis enough to our clients of then importance in understanding insurance claim process and deadlines when handling equipment breakdown claims.
There are time limits built into the policy that restrict how much or how long you will be compensated for your losses, so call us today and let The Disaster Advocates help you “Claim What’s Yours.” Please contact TDA Public Adjusters to set up your No Cost Consultation.