Electronic Equipment Insurance
THE POLICY
This type of insurance covers repair or replacement costs to electronic equipment due to electronic, electrical or mechanical breakdown. The cover can extend to insure for the cost of reconstructing damaged data media and for the increased costs of working in order to maintain business operations.
WHO NEEDS THIS COVER?
Church operated organisations and businesses, particularly hospitals and nursing homes, schools and colleges, offices and others that have electronic equipment such as computers, VDU terminals and printers, medical, diagnostic and X-ray equipment, cat scanners, computer tomographs, laboratory equipment, analytical apparatus, electronic microscopes, PABX, calling systems, facsimile machines and other communications systems, audio visual equipment and kitchen equipment such as microwave ovens.
DEDUCTIBLE/EXCESS
A minimum deductible of $100 applies but this increases depending on the value of the equipment and whether a maintenance agreement applies.
Where data is insured, a $200 or 5% of the loss deductible applies (whichever is greater) and for the cover on increased costs there is a choice of a time excess of 2, 3, 5, 10 or 20 days.
LIMITS OF LIABILITY
The limit of liability for the Section covering the equipment needs to represent the new replacement value of the equipment.
The limit insuring data needs to be adequate to pay for the cost of replacing damaged data media plus the cost of restoring lost information onto the new media.
In regards to the Section covering additional costs the limit should represent the cost of alternative facilities multiplied by the estimated number of days (less the time deductible) required to replace equipment and media .
FIRE SERVICE LEVIES and STAMP DUTY
As cover is limited to breakdown (other perils to be insured under the Composite Risks Policy), fire services levies do not apply. Where applicable, stamp duty is added to the premium.
FEATURES and BENEFITS
Whilst major equipment needs to be listed smaller items can be covered under a "blanket" cover arrangement.
Where the client has a maintenance agreement on equipment, the policy can be tailored to cover on a "difference" basis and the premium adjusted to reflect the reduced exposure.
OPTIONS/EXTENSIONS
The policy can be extended to cover consequential loss as a result of breakdown. Where there is a significant dependence on a key piece of equipment and replacement may take time (e.g. imported or specially designed equipment) this form of protection should be considered.
IMPORTANT POINTS
The policy does not cover:
- Loss or damage by atmospheric moisture or temperature.
- Routine preventive maintenance, worn batteries, belts, chains, tapes, ribbons, filters, fuses, electrical heating elements or electric contacts.
- Loss or damage due to gradual deterioration including rust, corrosion, erosion, oxidation or scale formation.
- Equipment when out of your possession on hire, rental, lease or loan.
TAKING OUT A POLICY
Catholic Church Insurances Limited will assist in obtaining information necessary for providing a quotation and issuing a policy.
The Insured should minimise the extent of damage, preserve the effected parts for later inspection and immediately notify us so inspection and repairs can be arranged.
Please note: this information sheet is not intended to replace the policy wording. It is designed for information purposes only and should be read in conjunction with the policy wording. For further information or a full copy of the policy wording please contact Catholic Church Insurances Limited on 1300 655 001.
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