What is Equipment Breakdown Coverage?

Most policies do not cover the cost of repairing or  replacing essential equipment in your home when it breaks down. Equipment Breakdown Coverage picks up where standard policies leave off and covers important property

and home systems damaged by mechanical or electrical breakdown, including brown outs and power surges, or failure of steam heating boilers.

Some policies also cover automatic additional coverage to upgrade to equipment that is better for the environment, safer or more efficient than the equipment being replaced. Your policy would cover your additional expenses in the event your home becomes uninhabitable as a result of equipment breakdown.

What Equipment is Covered?

Unlike extended warranties, which usually cover only one piece of equipment, Equipment Breakdown Coverage applies to most of your household equipment and appliances.

This includes:

• Clothes Washers and Dryers
• Dishwashers and Garbage Di’ posals
• Refrigerators and Freezers
• Home Heating Systems
• Home Electronics such as
• TV, Audio & Media Equipment
• Air Conditioners and Heat Pumps
• Cooking Ranges
• Microwaves and Ovens
• Electric Service Panels
• Hot Water Heaters
• Security Systems
• Vacuum Systems
• Swimming Pool and Spa Equipment
• Well Water Pumps

In general, if it uses electric power, it is probably covered.

What are typical losses?

A domestic water 230-volt deep well pump short circuited to ground. After pulling the pump from the well, it was concluded that the cost to repair the pump was greater than the cost of replacement.

Cost of replacement: $1 ,650.

A power surge caused by the electric utility resulted in arcing damage to the electronic components of a flat panel television and electric motor of an air conditioning system. Replacement and repairs required service

by separate technicians.

Cost of repairs: $3,750.

Due to low refrigerant conditions, the compressor supporting an air conditioning unit overheated and mechanically bound. Since the repairman could not find a suitable replacement compressor, replacement of the system was required.

Cost of replacement: $5,390.

Is There a Deductible?

Yes. All losses are subject to the policy deductible.