Eagle Eye Contents

How about a disaster plan?

Business Interruption Insurance?

Equipment Breakdown Insurance?

While some days in our office I’d say we have too much equipment that is electronic, the truth is that most of how we do our business today is with electronic equipment. I can’t write this article without the use of a computer. I will eventually e-mail it to our printer, but I could just as easily fax it over. If there are any questions, they will call.

To do all this I need computers, fax machines and phones. We also have timers for lights, sprinklers, heating and air conditioning systems and probably more electronic “stuff ” than even I know, and we are just a humble insurance agency. What do you have that is electronically controlled?

If any of it is damaged by power surges or other electrical line disturbances what will you do? In our office, our staff will expect answers to when everything will be back to normal in minutes.

Do you have a back up plan? Spare computers, a separate phone line that can accept an older style phone. Maybe a generator?

I suspect you don’t. You should. You should be prepared to handle both a small equipment failure as well as one that could force you to have to relocate out of your present location but that will enable you to do business without much interruption.

There are two important insurance coverages that should be considered.

• Equipment Breakdown Insurance—covers repair or replacement of equipment for a host of reasons–mechanical breakdown, electrical arching, damage due to excess pressure and centrifugal forces to name a few items.

• Business Income and Extra Expenses Insurance—The continuing expenses of operating your business—taxes, loans, salaries, etc., if there is no income due to a covered loss. Extra expenses to find and set up another location if needed. The cost of getting a spare machine in to replace the damaged unit until it is fixed. The added price you might have to pay to get the equipment custom built for you, not in the standard delivery time frame, but as soon as possible.

We all anticipate that nothing is ever going to happen in our lives and the operation of our businesses. Each day will be like the last one, we are able to make or provide the goods and services we normally do without any interruptions. Our customers will be happy, our employees will be paid and we, the owners will make our profit. But in the world of computer viruses, natural disasters, electrical blackouts and unfortunately the times we live in, there are certainly enough things that could disrupt your day.

You need to have a plan for what you will do should the unexpected occur. We are available to help guide you in that process and have insurance products that will ease the cost of staying in business should the unplanned event occur.