Systems Breakdown Coverage
The coverage formerly known as boiler and machinery coverage has been redefined as systems breakdown coverage. The coverage is much broader, including air-conditioning equipment, machinery, unfired vessels, telephone systems, security systems and computers.
The following are typical losses for systems breakdown coverage:
- Boiler & pressure vessels: explosion, fire, water damage, cracking of vessel & collapse
- Air-conditioning: pipes rupture, crack or explode
- Electrical equipment: burnout, control or connector failure
How CPIP's policy would respond:
The coverage is automatically built into the property form. The limit is the full property limit in the policy.
Loss Control Recommendations:
- Regular inspections by qualified professionals.
- Boiler inspections required by law should be reported to the Heffernan Group or your local agent
- Preventative maintenance
- Use power surge protectors
- Keep cables away from moisture
- Keep electrical panels and wires clean and free of combustibles
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