MACHINE BREAKDOWN INSURANCE

This insurance covers all production and auxiliary machines in your business (textile, metal, leather, wood, plastic, food, printing, and packaging machines, etc.) after their installation and testing are completed and they are fully operational.

Machine Breakdown Insurance automatically covers the following main risks, provided they occur suddenly and unexpectedly:

• Operational accidents
• Manufacturing, assembly, and workmanship defects
• Lubrication faults
• Damage caused by electrical energy (voltage fluctuations, short circuits/smokeless fire, indirect effects of lightning)
• Storms
• Blockages, entry of foreign objects
• Negligence, fault, error, carelessness, and malice of business personnel or third parties

The scope of Machine Breakdown Insurance can be expanded with the following additional coverage:

• Physical explosion
• Damage to the foundations and bases of machines
• Strikes, lockouts, riots, civil commotions, terrorism
• Overtime and express transport expenses required due to damage
• For mobile work machines (excavators, bulldozers, loaders, cranes, forklifts, etc.), comprehensive insurance (fire, earthquake, flood, soil collapse, rockfall, collision, overturning, and additionally, theft if requested).

The basis of valuation for this insurance is the replacement value of the machines as new. Since most of the damage covered under this insurance involves partial damages where the faulty part is replaced with a new one, the compensation is calculated based on the cost of the new part. Additionally, it is advisable to have Fire Insurance for fixed machines covered under Machine Breakdown Insurance.