Machinery Breakdown Insurance and Electronic Equipment Insurance both deal with equipment failure, but they generally cover different types of equipment.

What does Machinery Breakdown cover? #

Machinery Breakdown commonly applies to equipment such as:

• Air-conditioning systems.
• Refrigeration machinery.
• Pumps.
• Motors.
• Boilers.
• Ovens.
• Compressors.
• Production machinery.
• Pressure vessels.

What does Electronic Equipment Insurance cover? #

Electronic Equipment Insurance can apply to equipment such as:

• Computers.
• Servers.
• Electronic control equipment.
• Medical equipment.
• Communications equipment.
• Other specified electronic systems.

The definition varies between insurers.

Why are there separate sections? #

Mechanical machinery and sophisticated electronic equipment can have different:

• Failure mechanisms.
• Repair costs.
• Replacement requirements.
• Data exposures.
• Business Interruption risks.

Insurers can therefore treat them as separate policy sections.

What about machinery containing electronic controls? #

Modern machinery often contains both mechanical and electronic components.

The policy needs to be reviewed to determine which section responds.

Do not assume every electronic component attached to machinery is automatically covered.

Can Electronic Equipment cover data restoration? #

Some Electronic Equipment policies can include additional cover for matters such as:

• Restoration of computer data.
• Increased costs of working.
• Temporary equipment.

These benefits vary between policies.