Universal Sompo

Commercial - Machinery Breakdown Policy

Machinery Breakdown Policy covers Mechanical and Electrical Machinery and/or equipments owned by you or for which you are responsible or hold in trust and/or commission at the insured premises.

What does this Policy cover?

The Policy covers unforeseen and sudden physical damage to any mechanical and electrical machinery and/or equipment by any cause necessitating repairs and/or replacement. Coverage includes:

1. Faulty design, faults at workshop or in erection, defects in casting
2. Faulty operation, lack of skill, negligence
3. Tearing apart on account of centrifugal force
4. Short circuit and other electrical causes

Optional Extensions

1. Escalation
2. Express Freight
3. Air Freight
4. Owners surrounding property
5. Third party liability
6. Additional custom duty

Other Salient Features

1. Discount for stand-by equipments
2. Discount for favorable claims experience
3. Discount for opting higher voluntary excess
4. Incentives for good maintenance
5. Special rating scheme for equipments valued Rs. 50 lakhs and above based on age, maintenance, in-built safety sytems, claims experience etc

The Policy does not cover the following

Loss or damage resulting from:

1. Fire, lightning, Inundation, flood, earthquake, subsidence, landslide chemical explosion, burglary and theft, impact by land borne/water borne craft
2. Wear and tear, faults or defects existing at the time of commencement of insurance which ought to have been or were known to you, Faults or defect for which the supplier is responsible either by law or under contract
3. War or warlike operations, nuclear reaction, radiation or radioactive contamination
4. Willful acts or gross negligence on the part of you or your representatives

Note: The above are only the salient features of the Policy , for complete terms and conditions please refer to Policy Wordings.